The value of the Solana token appears to be in a bearish trend. The invalidation level is an important factor in future price movement.
The bulls have lost the fight for the $40 barrier, and Solana’s price is showing signs of exhaustion.
On June 13, when the central smart contract token’s lows were set at $25.86, it has risen 65% since then. The unraveling selling may soon become catastrophic as the bears have broken through the 8-day simple moving average (SMA), forcing early bulls to abandon ship. The Relative Strength Index confused the situation because it showed that the selloff was not really happening. This happened because the selloff occurred right at the sellers’ 65 level.
If the Solana price falls below the $25.86 support level, it could mean big trouble. A low breach could lead to a bearish frenzy, with targets around $10. The 61.8 percent retracement level is at the $31 price level, according to a Fibonacci rejection tool surrounding the June 13 low and most recent June 24 high of $42.94.
This is the most important support zone for traders. A drop beneath $31 will provide bearish confidence and draw in more bearish breakout traders, who will seek to profit on the June 13 swing low.
A decisive break above $43 signals that the bearish trend is over. If the bulls can overcome this barrier, they may be able to advance into the $50 price zone, resulting in a 40 percent increase from current Solana prices.