Bitcoin and Solana Break Key Price Levels
The cryptocurrency market is facing another challenging moment as major players Bitcoin (BTC) and Solana (SOL) break below critical price support levels. For traders and investors, understanding what’s happening in the market is key to navigating this volatility effectively.
Bitcoinās Performance: A Break Below $90K
Bitcoin dropped below the psychologically significant $90,000 mark, signaling further bearish momentum. After painting a promising āgolden crossā just days earlier, BTC has now invalidated this formation, trading around $89,208āa drop of 3.62% within the last 14 hours.
Technical indicators such as the Average Directional Index (ADX), currently at 30.5, and the Relative Strength Index (RSI), at 41.7, suggest bearish territory without being oversold. This indicates potential for further downward movement before any meaningful bounce. According to Fibonacci retracement levels, Bitcoinās next significant support lies at $80,600, roughly 10% below its current price. Furthermore, BTC has broken below its 200-day Exponential Moving Average (EMA), an essential level for long-term bullish trends.
Solana Follows Suit: Breaking Below $130
Solana has followed Bitcoinās trajectory, sliding 5.06% to trade around $126.61. The situation is similarly bearish for SOL, with the 50-day EMA crossing below the 200-day EMAāforming what traders refer to as a ādeath cross.ā This pattern signals extended bearish trends and the potential for further price declines.
The strongest current support for Solana sits at approximately $117. Should this level fail, SOL might retest $100, a significant psychological price level. This represents a massive decline from its September highs of over $250, marking a 50% loss in value.
What Traders Can Expect
The broader crypto market is down, with a total capitalization of approximately $3.01 trillion, marking a 4.27% drop in just 24 hours. This decline has shaken tradersā confidence, particularly on prediction markets like Myriad, where bullish sentiment for both Bitcoin and Solana has drastically decreased.
Technical trends seem to reinforce the bearish outlook. Both assets have lost critical price supports and are now influenced by bearish setups on their charts. This includes invalidated golden crosses for both BTC and SOL, their respective 50-day EMAs crossing below their 200-day EMAs, and key support levels being tested with significant momentum.
Boost Your Market Analysis with the Right Tools
For investors seeking a deeper understanding of cryptocurrency trends, tools like the TradingView Premium service provide advanced technical charting capabilities. By analyzing indicators such as ADX, RSI, and Fibonacci retracement levels, you can stay ahead in an ever-changing market.
Disclaimer: The information provided is for educational purposes only and does not constitute financial or investment advice. Always consult a financial expert before making investment decisions.
