Solana has recorded a 7 % increase in the past 24 hours, and is in line with the broader market recovery. Although this increase may seem promising, technical and objective data indicates that the currency may face great resistance.
Despite the last gathering, Sol risks rid of these gains and can be less than the $ 100 sign if the hypothesis dominates.
Solana prices lack the momentum
Although it is impressive, the current Sol assembly greatly reflects the broader market instead of demand for altcoin. This downtown shaped the flow of Chaikin (CMF) shows this.
At the time of the press, the Sol CMF is less than the zero line at -0.09, indicating that there is no purchase momentum among the participants in the Sol Market.
The CMF index measures the flow of money inside and outside the original. The declining difference appears when CMF is negative while the price climbs. The difference indicates that despite the upward movement, there is a greater sale pressure from purchase of interest, indicating poor momentum ascending.
This indicates that the current prices of Sol may lack sustainability and may be at risk of reversing or stopping as the new demand continues.
Moreover, the long/short currency rate highlights that the market participants tend significantly towards the short side. At the time of the press, this stands at 0.97.
The long/short balance measures the balance between long situations (betting on price increase) and short situations (betting on low prices) in the market. When the ratio is less than zero like this, it indicates that there are more short situations than long situations.
This indicates that the declining feeling is still dominant in the Sol market, and its future traders expect a decrease in the original price.
Solana in the decisive area: Will 95 dollars lead to a sharp drop?
During the trading session during the day on Monday, Sol decreased to its lowest level in 12 months at 95.26 dollars. Although it has since recovered to trade at $ 108.77 at the time of the press, the remaining declining bias leaves the coin because of the risk of getting rid of these gains.
If you see Sol declining, it may collapse without support at $ 107.88. If you decline to less than $ 100, the currency price may decrease about $ 79.
On the other hand, if the bullish direction continues, with the support of an increase in the new demand, the Sol price can violate the resistance at $ 111.06 and climb about $ 130.82.
Disintegration
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