The prices of popular altcoins Solana (SOL), Binance Coin (BNB), and Cardano (ADA) continue to decline due to Bitcoin (BTC) breaking below $92,000 and experiencing a pullback earlier this week. The technical outlook suggests that these altcoins may decline further, retesting their key support levels and providing buying opportunities for over-the-counter investors.
Solana bulls show signs of fatigue
The weekly chart for Solana shows that the fourth-largest crypto asset by market capitalization reached an all-time high (ATH) of $264.39 last week. However, it is facing a pullback this week, dropping to about $224 on Tuesday.
If SOL continues to decline, it may extend the downtrend and find support near the weekly level of $183.88, roughly aligning with the 50% and 61.8% Fibonacci levels of $187.2 and $168.98 (from the August low of $110.00 to the mid-November high of $264.39). Over-the-counter investors seeking buying opportunities may consider the aforementioned levels.
The relative strength index (RSI) momentum indicator on the weekly chart is trading at 62, pointing downwards after breaking the overbought level of 70, indicating weak price momentum.
SOL/USDT Weekly Chart
Binance Coin's closing price failed to break the weekly resistance level and is expected to decline
Last week, Binance Coin's price failed to close above the weekly resistance level of $661.74. This week, Binance Coin's price has decreased by 6.38%, trading at about $617.58 as of Tuesday.
If BNB continues to pull back, it may retest its weekly support level of $528.90, roughly aligning with the 50% and 61.8% Fibonacci levels of $543.54 and $509.67 (from the August low of $400 to the mid-November high of $687.09). Over-the-counter investors seeking buying opportunities can buy between the aforementioned levels.
The RSI momentum indicator on the weekly chart is at 55 and pointing downwards, indicating weak bullish momentum.
BNB/USDT Weekly Chart
Cardano's price faces a pullback after a significant rise
According to the weekly chart, Cardano's price increased by 46% last week, reaching an annual high of $1.15 on Friday. Earlier this week, the coin faced a pullback, trading at about $0.878 on Tuesday.
If ADA continues to pull back, it may retest its monthly support level of $0.654, roughly aligning with the 50% and 61.8% Fibonacci levels of $0.613 and $0.718 (from the August low of $0.275 to the mid-November high of $1.16). Over-the-counter investors seeking buying opportunities can find them between the aforementioned levels.
The RSI momentum indicator on the weekly chart is at 70 and pointing downwards, indicating weak bullish momentum.
