Solana Faces Bearish Pressure Amid Descending Channel

Solana (SOL) continues to struggle as it remains trapped in a descending channel, reflecting persistent bearish momentum. After failing to hold its recent highs of $280, SOL is now trading near $210, signaling short-term weakness.

The 50 EMA is acting as a critical resistance level. Recent price action shows SOL testing this level, but the absence of strong volume and sustained buying pressure suggests the downtrend may persist.

Key Support and Resistance Levels

If SOL cannot break above the 50 EMA, currently around $210, further declines may follow. The next significant support lies at the 100 EMA near $196, aligning with the lower boundary of the descending channel.

• Break Below $196: Could trigger a drop toward the 200 EMA around $175, a level that previously acted as strong support during earlier consolidation phases.
• Breakout Above Channel: If SOL can reverse from the $196 support and break out of the descending channel, the next target would be $225.

For a complete reversal and bullish trend shift, SOL needs to regain momentum above the $250 resistance level and sustain price action outside the descending channel.

Technical Indicators Reflect Continued Weakness

• RSI (Relative Strength Index): Currently in the lower range, indicating bearish momentum but not yet oversold. This suggests there is still room for further downside before a potential recovery attempt.
• Volume: Lack of significant volume confirms weak buying interest. Traders should watch for volume spikes near the $196 support, as these may signal either a breakdown or a reversal.

Outlook for Solana

In the near term, Solana’s price will likely remain under pressure unless clear bullish indicators emerge. Traders should monitor the following key levels:

• Support: $196 (100 EMA), $175 (200 EMA)
• Resistance: $210 (50 EMA), $225, and $250

A breakdown below $196 could lead to further declines, while a breakout above the descending channel would offer some relief. Until then, Solana’s bearish momentum remains intact.