What to know:
- SOL declines as trading activity weakens, reflecting low participation and muted demand.
- Analysts say SOL must break key resistance to confirm strength or remain range-bound.
- MACD stays negative while EMAs indicate the broader trend remains under pressure.
Solana (SOL) is currently trading at $89.36 on Friday, March 20, posting a 0.93% daily decline amid falling trading activity. This shows weak momentum, while traders monitored key resistance levels and indicators to assess whether the asset could regain strength.
According to CoinMarketCap data, the trading volume has fallen by 11.91% and is currently standing at $3.73 billion. This decline reflects low participation in the market. Over the last seven days, SOL has recorded a slight increase of 0.05%.
SOL Faces Resistance at $95
Analyst Daan Crypto Trades pointed out that SOL tried to test its low wick in April 2025 but failed. The analyst added that for cryptocurrency to gain more strength, it needs to trade above the $95 level. If it does, it will open a path towards the $115-$125 region.
Until such resistance is cleared, according to the analyst, the price remains uninteresting. The current price levels do not show any significant confirmation of a breakout. Traders continue to wait for a breakout before taking positions.
Moreover, another analyst, CrypFlow, revealed the similarities in the current structure and the structure seen before the 2022 cycle bottom. During that phase, the token showed improving momentum signals but failed to sustain its initial gains. The price later declined before forming a final bottom.
The current setup shows that the RSI is trying to break through the downtrend. The Stochastic RSI has printed a bullish crossover in oversold territory. However, previous cycles showed that these signals were not followed by an immediate reversal.
Also Read: Solana Targets $115 Breakout as Overhead Supply Continues to Decline
The analyst added that the token might revisit a lower range of $76 and $44 if the same pattern continues. This might be an accumulation range for the coin. However, the analyst raised uncertainty about whether the bottom is already in place.
Open Interest and Volume Fall
According to CoinGlass data, the future volume decreased by 7.10% to reach $11.80 billion, while the open interest declined by 5.82% to $5.01 billion. The OI-weighted funding rate stood at 0.0029%, indicating neutral positioning.
SOL Stays Below Key EMAs as Bearish Pressure Persists
From a technical perspective, SOL remains below major exponential moving averages. The 20-day EMA is at $88.75, relatively close to the current price. This indicates short-term consolidation. However, the 50-day EMA stands at $93.75 and acts as immediate resistance.
The 100-day EMA stands at $108.28. The 200-day EMA stands at $129.19. These values are significantly far from the current price. This indicates that the current trend remains under significant pressure.
The Moving Average Convergence Divergence (MACD) indicator shows that the MACD line is at 0.54. The signal line stands at 0.75. The histogram remains negative at -0.21, indicating weak bearish momentum.
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