- Solana’s price has the risk of a further 13. 4 percent drop if it goes lower to the critical support line of $141 on the hourly chart.
- A bearish head-and-shoulders pattern is emerging, raising concerns that Solana may reverse its trend soon.
- Major fluctuations could be elicited by market conditions and buyer support at $141 to encourage massive Solana sales.
Highly-ranked Solana token (SOL) could be prone to a hefty price drop, following technical signals pointing towards the formation of a bearish head and shoulders in the hourly chart. In a recent X post, famous analyst Ali pointed out this pattern that often indicates a bearish reversal.
The head and shoulders pattern is a well-known chart formation of when it can signify when a rise in prices may be over and a decline is prospective. Currently, Solana is in the process of forming a bearish pattern where the left shoulder is quite visible, a head, which refers to the latest high and a right shoulder that points to a slightly lower high. The pattern’s critical support level neckline is located at $141 this is the point that traders are now eyeing.
Potential Solana Sell-Off Looms
Based on his analysis Ali suggests that a bearish break below the $141 support level would likely lead to a massive sell-off of Solana with an expected price dip to about $122. This projected drop is equivalent to 13.4% based on the proportions, which measures the distance between the head’s peak to the neckline. The bearish pattern indicates that Solana’s current rally may be short-lived as the bears regain control of the market.
While writing, Solana value is at $143.11 which positions itself very close to the $141 mark as this is the point of panic that defines SOL value. The next move in the market would be very important in deciding the outcome of the head-and-shoulders pattern and whether it will be followed by the corrective pattern that has been predicted. Should Solana trade below the $141 level it will likely validate the bearish view and increase selling pressure on the asset.
The situation, however, is not completely gloomy for SOL as they have some cards to play in their favor. Market conditions are always unpredictable and this relatively new currency may be inversely directly affected by several factors. Other external factors that can influence either way include wider market trend, occurrence within the SOL ecosystem and general economic conditions. This bearish pattern could however be negated, in the event that buyers come to the support of $141 level.
The crypto community has now turned attention towards longer time frame charts so as to anticipate Solana price change around breached support level. However, a break below $141 could be considered rather dangerous for bulls, while holding this level might be a signal for chasing the price higher.
