Over the course of the day, the broader crypto market bleed badly. Bitcoin price drop below $48,000 With a nearly 6% loss, Ethereum has lost more ground on the $4,000 mark. Cardano and Ripple both lost 7% of their value, while Polkadot fell 10% to $28.14.
Along with major altcoins, Solana price failed to settle above the $200 level and declined towards the support at $178.
SOL Price Action
With a 10% drop, SOL price exceeded a sinking crypto market. SOL fell as low as $177.04, breaking down the 20 and 50-day Exponential Moving Averages (EMAs). Meanwhile, a rise in trading volume of more than 63 percent indicated strong seller behavior.
SOL broke below the resistance of $183 after dipping from major resistance at $187. At the time of writing, SOL is trading at $179.71 down by 5.5% in the last 24 hours. If selling pressure continues, the next support level will be $176, from which the price might drop to $172.
On the upside, Solana needs to get back above $186 to have a chance to develop sustainable upside momentum. The next resistance level is at $190. A move above this level will open the way to the test of the resistance near the $200 level.
In case of downside momentum, the altcoin will move towards the next support level which is located at $170. A move below the support at $170 will push Solana towards the support at $164. In case Solana declines below this level, it will head towards the support at $157.
With a value of 44.82, the Relative Strength Index (RSI) indicates a low market valuation, while the Going Average Convergence Divergence (MACD) curve is moving sharply downward into its neutral zone below the 0.00 line.
Solana (SOL) Prediction for 2022
Michael van de Poppe, a cryptocurrency analyst, is calculating how high SOL can rise after experiencing exponential growth in 2021.
Van de Poppe tells his subscribers in a recent strategy session that Solana (SOL) is exploiting some of the Ethereum platform’s flaws, such as high transaction prices and scalability difficulties.
The crypto strategist believes that the overall crypto markets will be bullish in 2022 and that if Solana can successfully break over the $193 zone, it would soar past previous all-time highs.
“The two levels that I’m personally watching are $410 and $650 in the first few runs…”
He explains that while we could see an exceeding run for Solana here as well, in which we make this run, have another correction, and then start running again before the entire bull market is over, resulting in a run that could bring us to $1,000 or $1,500, and then we’re approaching the end of this bull cycle.
Van de Poppe concludes his upward price prediction by stating that while he believes $600 SOL is attainable during the current run, the broader crypto markets would have to accomplish a 5x before SOL could reach $1,000.