Solana Plunges 12% in a Week—Is a $127 Retest Coming?

Solana's bulls just got a reality check. The high-speed blockchain's token bled out 12% over the past seven days—now traders are eyeing a potential retest of the $127 support level.

Will SOL bounce or breakdown? Here's what the charts scream.

Technical carnage: The drop sliced through key moving averages like a hot knife through butter. No fancy 'institutional adoption' narrative saves you from gravity.

Silver lining? If history rhymes, this could be another fakeout before SOL resumes its uptrend. Or—plot twist—crypto's 'Ethereum killer' becomes the trade everyone regrets.

Wall Street's still trying to pronounce 'blockchain' while retail traders ride this rollercoaster. Stay tuned.

Break Below Key Support Confirms Weak Momentum

SOL’s price has now dropped below the crucial $180 support zone, which previously acted as a pivot for bullish momentum. The sharp rejection from the $200 resistance has initiated a bearish structure. Moreover, the current price action suggests that SOL may continue its bearish action in the coming time.

Considering the historic Solana price patterns, the next major support zone lies between $158 and $127, where buyers previously accumulated during consolidation phases.

The Moving Average Convergence Divergence (MACD) indicator has flashed a clear bearish crossover in the daily tie frame. Additionally, its trendline is moving well below the signal line, suggesting a growing downward pressure. With a rising red histogram in the SOL coin price chart, it hints at an intensifying bearish trend.

Additionally, the Stochastic RSI is currently bottomed out NEAR 0, showing extreme oversold conditions. While this could indicate a short-term relief bounce, it also records the lack of buyer interest in the current zone, specifically with decreasing volume and bullish candles.

With SOL trading under the $180 and key indicators pointing bearish momentum, the probability of a drop toward the $127 support zone appears increasingly likely.

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This content is for informational purposes only and does not constitute financial or trading advice. Technical analysis is speculative and past price patterns do not guarantee future results. cryptocurrency investments carry significant risk including potential total loss of capital. Always conduct independent research and consult qualified financial advisors.