Solana (SOL) falls below $200: Investors are stressed!

#Solana ($SOL ) has fallen 8 percent in the last 24 hours, falling below $200 for the first time since early November.

This decline has been parallel to the pullbacks and liquidations in the market. However, Solana traders seem hopeful that this decline will result in a rapid recovery.

With #Solana falling below $200, it would have been expected that traders would be cautious about expecting a price increase. However, the data shows the opposite. According to crypto data platform Coinglass, the Solana Long/Short ratio is on the rise. The Long/Short ratio indicates whether traders expect a price increase or a price decrease.

When the ratio falls, the expectation is bearish. However, the ratio is increasing and is about to pass the 1 level. The development in question reflects traders' confidence that the SOL decline will be short-lived.

Solana had previously formed a bull flag formation indicating that the price could rise to $300. However, this formation was invalidated when the price fell below $209.58.

In addition, the popular altcoin’s trading volume continues to decrease, with sellers making up the majority of it. If this trend continues, the SOL price could fall to $153.97. If the bulls prevent the price from falling below $170.75, an uptrend could begin again. In such a scenario, the $264 level could be targeted as resistance.

The restart of the memecoin craze is another factor that could positively affect the #Solana price. If the money inflow to memecoins increases, the Solana ecosystem could see more demand.