Solana's price has commenced a downward trend below the $250 threshold, consolidating its position while potentially encountering resistance around $235 and $242.
Recently, the Solana price has experienced a significant downturn, moving below the $250 and $240 marks against the US Dollar. Currently trading under the $240 level and the 100-hourly simple moving average, Solana is showing signs of a bearish trend line forming, with notable resistance around the $235 mark on the hourly chart of the SOL/USD pair, according to Kraken data. If bullish momentum emerges, the pair could attempt a recovery above the $242 level.
Following an inability to surpass the $260 resistance level, Solana has mirrored declines seen in Bitcoin and Ethereum, falling beneath the $250 and $242 supports. The price even slipped below the $230 area, forming a recent low at $225, and is currently consolidating losses around this level. A modest recovery has seen the price surpass the $230 mark, bridging the 23.6% Fibonacci retracement from the $244 swing high to the $225 low. However, Solana remains beneath the $240 mark and its 100-hourly simple moving average, with resistance headwinds at $235 or the 50% Fibonacci retracement on the downward trajectory from $244 to $225.
A prominent bearish trend line reinforces resistance at $235, with additional resistance emerging near $242. Breaching beyond $250 could catalyze further gains, potentially targeting the $260 and $275 zones.
Should Solana struggle to break the $235 resistance, another downturn may ensue. Initial support is expected near $225, with significant support at $222. A breach below $222 could propel the price towards the $212 and eventually the $200 levels.