The price of Solana (SOL) continues to attract significant user activity and trading volume on applications like Raydium, Pumpfun, and Jito. However, SOL has dropped 17% in the past 30 days, losing a market capitalization of 100 billion USD and currently stands at 90.6 billion USD.
Indicators such as BBTrend and ADX suggest a weakening of the downtrend, with signs of potential recovery in momentum. Key levels at support 183 USD and resistance 194.99 USD will determine whether SOL can stabilize and climb back to 200 USD or face further declines.
BBTrend Solana Near Positive After 5 Days
The BBTrend of Solana is currently at -0.43, the highest since December 21. This is a significant recovery after hitting a low of -18.89 on December 22. This steady upward movement indicates that the downward momentum is weakening, and buying pressure has gradually increased in the past few days.
Although SOL's BBTrend remains negative, its approach to the neutral zone and potential positivity suggests that a change in market sentiment could pave the way for price stabilization or an upward trend in the short term.
SOL BBTrend. Source: TradingView
BBTrend, or Bollinger Band Trend, is a momentum indicator derived from Bollinger Bands that measures the price's relationship to the middle point of the band. A positive BBTrend value reflects bullish momentum, while a negative value signals bearish conditions.
If SOL's BBTrend turns positive again, as seen last on December 20, this confirms a complete reversal of bearish sentiment and could support a new price uptrend. In the short term, a continued recovery of BBTrend is a good sign, indicating that the price of SOL could see further growth if buying momentum continues to strengthen.
The Downtrend of SOL Is Not Too Strong, But It Could Recover
The Directional Movement Index (DMI) chart of SOL reveals that the Average Directional Index (ADX) is currently at 20.14, down sharply from nearly 50 just three days ago. This decline indicates a significant weakening in trend strength, although SOL is still in a downtrend.
The positive directional index (D+) has dropped to 14.99 from 24 two days ago, signaling a decrease in buying pressure. Conversely, the negative directional index (D-) has increased to 24.11 from 17.3, reflecting increased selling activity. This combination suggests that sellers currently dominate the market, although the weakening ADX indicates that the downtrend may be losing momentum.
SOL DMI. Source: TradingView
ADX measures trend strength on a scale from 0 to 100, without specifying the direction. A value below 20 suggests a weak trend, while a value above 25 indicates a strong trend. With Solana's ADX at 20.14, the current downtrend is gradually weakening, although selling pressure remains higher than buying activity.
In the short term, this may mean that the price of SOL could stabilize or consolidate, as the lack of a strong trend may create opportunities for buyers to return to the market. However, the continued dominance of D- may still push prices down if sellers maintain control.
Solana Price Prediction: Can SOL Climb to 200 USD Soon?
The price of Solana is currently trading within a range defined by a support level at 183 USD and a resistance level at 194.99 USD. If the support level at 183 USD fails to hold, the price of SOL may face additional downward pressure and could drop to the next critical level at 175 USD.
This scenario would signal continued selling momentum, making the support level at 183 USD a crucial threshold to maintain short-term stability.
SOL Price Analysis. Source: TradingView
Conversely, if the price of SOL can regain positive momentum and break through the resistance level of 194.99 USD, it could open the door for further growth.
The next targets will be 204 USD and 215 USD, marking a potential growth of 14% from the current level.