Can Solana Hold its Epic Support at $122?

[CryptoChamp]

Solana ($SOL) is facing a challenging period in the market, with its price dropping to $130.56 USD. Here’s a closer look at what’s happening and what might be next for SOL.

Recent Price Decline

• 15.17% Drop in a Month: Over the past month, Solana coin has fallen by 15.17%. This decline reflects the broader market’s pressure on the cryptocurrency.
• 8.5% Weekly Fall: Just this week, Solana saw an 8.5% drop, a sign that bears are firmly in control. Despite attempts to maintain a bullish outlook, the market seems to have different plans.

Critical Support Levels

• Breakdown of $134 Support: Recently, SOL broke through the $134 support level, raising concerns that further declines could be on the way.
• Key Support at $122: The $122 level is now under the spotlight. This price point has been tested six times, and many whales view it as crucial. A break below this could push SOL towards $90. But if this support holds, it might set the stage for a bullish turnaround.
• $100 Support: While the $100 support level is still a bit distant, it’s essential to watch if the current bearish momentum continues. Revisiting this level could spell trouble for Solana.

Changing Market Sentiment

• Shift to Bearish: The overall sentiment around Solana is slowly turning bearish. Since March, SOL has struggled to make new highs, and the current price action suggests that new lows could be coming.
• Potential Bullish Outcome: However, some analysts believe that if Solana manages to stay above $122 throughout 2024 and 2025, it could be incredibly bullish for the future, possibly leading to significant gains in 2025.

Upcoming Breakpoint Event

• Historical Price Surges: There’s a potential catalyst on the horizon. Historically, Solana has seen price surges two weeks before its annual Breakpoint event. In previous years, SOL surged by 35% in 2021 and 2022, and by 60% in 2023.
• 2024 Event: With 16 days left until the 2024 Breakpoint event, could we see another rally? Only time will tell.

The Importance of $122 Support

As Solana approaches the $122 support level, all eyes are on whether it will hold. A break below could lead to further declines, while maintaining this support could bring back some bullish momentum. As always, stay informed, and remember the old adage in crypto: "buy the rumor, sell the news." Keep watching the charts as we near the 2024 Breakpoint event.