The crypto industry has leveled all its gains from the price surge the market had experienced during the start of the month. Following the news of Solana’s price recording the best institutional inflow since March 2022 last week, the price experienced a dip of over 9%.
The SOL price was seen trading sideways during the month of September, after which the coin gained momentum and breached multiple resistance levels. After this, the SOL price has been trading on a bearish note since the start of the month, indicating a bear power in the market.
Further, the coin is hovering close to its important support zone. The coin has been testing the level at $21.15 since early trading hours today, but the bulls are holding the price above the level.
The RSI has displayed massive price volatility since the start of the month. The averages were seen trading above the mid-point for more than two weeks, following which the price experienced a dip in its value, resulting in the averages falling below halfway.
The averages are currently hovering close to the oversold range, indicating a weak price action.
If the market experiences a trend reversal in the price movement, it will prepare itself to test the resistance level of $22.43. Further, if the bulls gain power and break out of the channel, the price will gain a strong bullish moment and continue to rise and test its upper resistance of $23.33 in the coming days.
On the flip side, if the bears continue to overpower the bulls, the price will lose momentum and continue trading in the descending channel.
Moreover, if the Bulls fail to hold the price above the important support zone of $21.15, the price will fall under the bearish influence and break down the channel, resulting in the price testing its lower support zone of $20.45 soon.