Analysis warns: Are the bells ringing for Solana (SOL)?

Solana, which hosted the memecoin supercycle in recent months, has begun to fall out of favor in recent days. The rise of major altcoins such as $XRP and $DOGE has reduced demand for the SOL price. The end of the memecoin cycle has also caused the Solana blockchain to lose blood.

AMBCrypto suggested that SOL, which has lost 13 percent in value in the last week, will continue to decline. The analysis prepared predicted an 8 percent drop for SOL, which is traded around $ 227.

According to AMBCrypto's analysis, Solana's liquidation levels and technical indicators signaled a potential decline.

Data analysis platform Alphractal published a striking tweet about Solana. The tweet stated that traders who open short (bearish) transactions in the short term will be liquidated between $ 247 and $ 252. The analysis platform reminded that a significant number of long (bullish) positions have not yet been liquidated.

Alphractal's tweet included the following statements; “Levels such as $210 and below $200 host the highest liquidation density among exchanges. On the other hand, there is short position liquidation around $267.”

Commenting on the data, AMBCrypto emphasized that taking long trades on #SOL at current levels is risky. The analysis noted the following; “$SOL is not a suitable option for taking bullish trades, as an increase in liquidation usually results in a price correction.”

Expectations are that the SOL price will fall to $210 and hot money will enter from this level.