Solana (SOL) has broken a key level and is now eyeing $129. On August 3, 2024, Solana, the fifth-largest cryptocurrency, experienced a significant drop of over 8% within 24 hours, breaking through the crucial support level of $157. During this period, traders and investors liquidated $16.22 million in both long and short positions. Solana is now projected to potentially fall to $129, with major liquidation levels identified at $146 on the downside and $162 on the upside.
The bearish turn in Solana's market sentiment follows its breakdown below the critical support level of $157, pushing the price towards the $129 mark. This decline mirrors negative trends seen in major assets like Bitcoin (BTC) and Ethereum (ETH). Currently trading near $150, SOL has seen a significant drop of over 8% in the last 24 hours. CoinGlass data indicates that SOL's open interest (OI) has also declined by more than 8%, signaling increased fear and reduced interest among investors and traders. During this period, $22.44 million in long and short positions were liquidated, with $16.22 million from long positions and $6.22 million from short positions. The bearish market sentiment is driving these changes.
Despite the substantial liquidation of positions, the upcoming liquidation levels for Solana are set at $146 on the lower side and $162 on the higher side. Should market sentiment remain bearish and SOL drops to $146, nearly $40 million in long positions could be liquidated. Conversely, if SOL rises to $162, about $147 million in short positions could be liquidated. Technical analysis suggests a bearish outlook for SOL, as it has broken below critical support levels and the 200 Exponential Moving Average (EMA) on the 4-hour chart, indicating potential further decline.
Important: This article is for informational purposes only and should not be taken as legal, tax, investment, financial, or any other type of advice.
