The cryptocurrency market’s comeback was cut short this week when the bear tore through price supports. After Bitcoin fell below the $43k mark, the altcoins witnessed an instant impact on their markers as the charts bled red. Solana, which had an impressive run over the previous weeks had its legs cut from under it when the token fell by 6 percent in the daily timeframe.
At press time, Solana was trading for $135.78 while holding a market cap of $40.05 billion. The 6 percent drop was characteristic of the weekly drop just like its daily counterpart. After the latest hit, Solana’s 24-hour market volume dipped to $2.882 billion. The 7th ranked cryptocurrency was still playing catch up to its nearest rival, XRP, which held a market cap of $43.211 billion.
Solana 1 hour:
Solana’s hourly performance has remained constant for the past 6 days as the graph took a sinusoidal shape. The immediate resistance was clocked at $127.2 after consecutive red candles brought the price down. During the past week, Solana struggled to break its resistance despite repeated attempts.
Relative Strength Index: The short-term RSI spiked slightly towards the middle as the graph traversed the oversold zone. This meant that the number of people holding SOL was less than the number of users selling the cryptocurrency.
Chaikin Money Flow: The last 24-hours saw the line climb to the zero line after an influx of capital from investors. Solana needed the boost as the ecosystem depended on the increasing user base.
Bollinger bands: Solana’s upper and lower band moved parallel to each other as a lack of price outbreaks became evident on the graph.
Solana 1 day:
Earlier long-term predictions had gone awry after 6 consecutive red candles took over Solana’s price action. The immediate support fell to $16.9 in September after peaking at $192.2 the same month.
Chaikin Money Flow: According to the CMF, quite a few long-term supporters deserted the cryptocurrency as the capital intake reduced. This was the first time since the end of July that the graph had fallen below the zero line.
Bollinger bands: Just like in the hourly charts, Solana’s daily bands also moved in a parallel fashion. The mid-August Bollinger cloud converged on the 20th as the bear run began.
Relative Strength Index: Solana’s daily RSI was right on the midpoint as the buying pressure and selling pressure equalized. If the last parallel hold pattern is repeated, Solana could be in for some massive upward momentum.