For many eager investors waiting for the next bull market, Solana remains a popular choice. Regardless of price fluctuations, the SOL price is expected to rebound strongly and break through the $500 million market cap. The U.S. presidential election will take place in the coming days, and industry experts like Arthur Hayes favor Solana, calling it a high beta Bitcoin. In addition, with the growing demand for Solana-based tokens, the Solana ecosystem continues to expand.
In any case, the SOL price has not received the attention it deserves as it continues to fall following a bearish market trend. The selling pressure has escalated significantly, indicating that the price may drop towards temporary support levels at any time, and may even reach new lows. However, the bulls have firmly defended the key area and kept the price above $160, with a similar price trend expected to restore a strong upward trend in the future.
As shown in the above chart, the SOL price is trapped within a bearish parallel channel, as the bulls continually face difficulties in breaking resistance. The recent rejection confirms the bearish impact on the rebound, but the bulls have also shown enough strength to hold the crucial support level at $160. However, the technicals indicate a different trend, raising concerns about the next price action.
The RSI is trading along an upward trend line, maintaining incremental gains, which has been a strong support. Unfortunately, the balance volume remains within a descending parallel channel, and after retreating from mid-term highs, a new pullback may be imminent. In this case, a drop below $160 could suggest a continued decline to $140, which would only occur if the bearish trend persists.
Currently, the price of Solana (SOL) is approaching a key support level that previously acted as strong resistance. Historically, this level has influenced price movements, indicating that it can serve as strong support. Therefore, if the price stays above this support level and shows bullish confirmation signals, it may attract buyers, potentially pushing the price up to $180.
