• Solana’s [SOL] price fell to a new low of $12.81 on June 10th, breaking two support levels in the process.
• The decline is likely due to the bearish pressure from Bitcoin [BTC], as well as the delisting of SOL due to a SEC lawsuit.
• Sellers are actively primed for more shorting gains, with shorts holding a 51.16% advantage on long/short ratio.
Solana’s [SOL] Price Decline
Solana’s [SOL] price experienced a sharp decline on June 10th, reaching its year low of $12.81 and breaking two significant support levels in the process – first dropping below the psychological $20 mark and then falling below $16.66 resistance level. This downward move follows after Solana’s bullish drive that saw it reach its year-high back in February 2021.
Explanation for The Decline
The decline can be attributed to multiple factors such as Bitcoin [BTC]’s bearish pressure beneath $26k and the delisting of SOL due to a SEC lawsuit against some major exchanges. Additionally, market speculators are currently leaning towards shorting opportunities with shorts holding 51.16% advantage on long/short ratio (according to 12-hour timeframe) while Relative Strength Index (RSI) remaining firmly in oversold zone with reading of 28 as of press time.
Bulls’ Uphill Task
For Solana bulls to gain any sort of advantage, they will need to clear the $16.66 resistance level along with sustained bullish push by BTC which could prove difficult given current market conditions and sentiment towards SOL tokens right now. On the other hand, if there is no recovery seen soon, a retest at $12.81 support level could lead to further downside for SOL with potential target at $11.23 for sellers should bears extend their gains further down the chart .
Realistic or Not?
Some investors have been wondering what will happen if Solana’s market cap drops even lower in terms of Bitcoin value – would this be realistic or not? With no visible signs of recovery yet and more selling pressure expected, only time will tell how far down SOL prices can fall before buyers return once again and take control over market conditions .
In conclusion , Solana’s [SOL] slump has seen it reach its lowest point since January 2021 but there is still hope that bulls can take back control if certain conditions get met which includes clearing $16 . 66 resistance hurdle along with sustained bullish push from Bitcoin . Despite active presence from sellers , only time will tell if there will be any recovery seen soon or further downside for SOL awaits ahead .