Solana (Sol) broke the $200 resistance on July 22nd, but was unable to surpass that level and is now facing a new revised prelude.
The thing is Technical analysis shows signs of Solana’s weaknessif you don’t reverse the bearish trend after rising to the $210 level, it increases the likelihood that your assets will lower prices.
Financial Markets Analyst Parshwa Turakhiya argues that “without a breakdown of over $174, there will be a continuing risk of falling into the demand zone of $144-$150.” In that sense, he makes it clear that “the next few days are important to determine whether Sol will recover or expand the fix.”
That analysis is accompanied by a 4-hour candle sun price chart, and it is observed that assets integrate bearish trends (blue dotted line).
In this regard, Turakhiya warns: “Price Action continues to respect the line of descending trends that rejected some bouncing attempts that highlighted the seller’s territory.”
This trend in descending order is Prices cited under the index mobile socks (EMA) of 20 (red line), 50 (orange), 100 (green), 200 (blue).
It is worth clarifying that EMA is a trend indicator that issues both purchase and sales signals, as explained in encryption. Generally, if the price is below the EMA, it is usually interpreted as a signal to either make a profit or reduce exposure.
Meanwhile, analysts emphasize that the $174 area (the red colored area) serves as a critical level that SOL must surpass to resume bullish gatherings.
In this regard, Turkhiya says that the main risk of Sol’s face is Prices could fall below $150 if sales pressure continues – Levels graphically represented by the blue rectangle in which the above demand zones are located.
“Previous updates highlight the weakening of the solar trend structure, with special attention to the important rejection zone of around $174. This level remains technically important and if it does not recover, a bearish bias will be maintained,” Turakhiya says.
For a change in bearish trends, it is essential that the macroeconomic context improves and geopolitical tensions decrease. In that sense, President of the United States, Donald Trump, needs to implement new tariffs imposed on dozens of countries on August 1, or the market will decide to assimilate the normality of this new tariff.
What’s more, the tension created after Trump ordered the deployment of two nuclear submarines is significant, depending on what was interpreted as a threat to former Russian president and current vice president, Dmitri Medvedev.
As for the basis of assets, it is important that the US Securities and Exchange Commission (SEC) decide The only funds from cash (ETF). This encourages the purchase of assets by those who plan to predict news.
Finally, it is worth noting that companies such as Development Corp (formerly Janover), Classover Holdings, Sol Strategies and Upexi have acquired Sun at the Treasury Department to generate extra revenue through staking.
If this trend continues to grow, Sol can integrate its own reserve assets narrative and increase displays among large investors. This can create bullish impulses in prices.
