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Solana Rebounds After Failing to Break $118 Support: Is Now the Time to Buy?

Solana (SOL) recently experienced a price rebound after failing to breach the crucial $118 support level. This bounce-back highlights strong buying interest at this key level, which has helped stabilize the price and prevent further declines.

The $118 mark has proven to be a resilient support, with market participants closely monitoring Solana’s price action for signs of recovery or renewed bearish pressure. As Solana navigates this critical level, traders and investors are analyzing technical indicators and market sentiment to predict the cryptocurrency’s next moves.

This article aims to analyze SOL’s recent price movement as it bounces back after failing to break below the critical $118 support level. Additionally, it will examine technical indicators, market sentiment, and broader cryptocurrency market trends to provide a comprehensive understanding of Solana’s current market dynamics and future outlook.

At the time of writing, SOL’s price was up by over 9%, trading at approximately $137, with a market valuation exceeding $63 billion and a trading volume of more than $3 billion. In the last 24 hours, SOL’s market capitalization has increased by 8.93%, while trading volume has decreased by 23.83%.

Solana Price Reactions After Facing Rejection at $118

Following the rejection at the $118 support level, SOL’s price on the 4-hour chart is attempting to move above the 100-day Simple Moving Average (SMA) and the $140 resistance level.

Additionally, the Moving Average Convergence Divergence (MACD) on the 4-hour chart signals bullish movement for SOL, with the MACD histograms actively trending above the zero line with strong momentum. The indicator’s signal line has also crossed above the MACD line, and both are moving up toward the zero line.

Although SOL’s price on the 1-day chart is bearish and trading below the 10-day SMA, it is observable that the price is moving upward with good momentum after failing to break below the $118 support level.

Etan Hunt

Bitcoin Maximalist and Toxic to our banking and monetary system. Separation of money and state is necessary just like the separation of religion and state in the past.

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