Solana Price Drops 18% Amid Market Turmoil and Exploit
- Market Turmoil Impact: Solana's price has dropped 18% from its March high due to escalating tensions surrounding the U.S.-Iran conflict and a $280 million exploit on the Drift Protocol, significantly undermining investor confidence in the ecosystem.
- Price Volatility Analysis: The token is down 7% from last week's high of $85.1, and following the exploit on April 1, concerns over the safety of its DeFi ecosystem have led to a withdrawal of investor funds.
- Lack of Derivatives Market Demand: Data from CoinGlass indicates that Solana's weighted funding rate has moved deeper into negative territory, with open interest dropping to $4.92 billion, reflecting increased aggressiveness from short sellers and diminished interest in long positions.
- Technical Indicator Warning: Solana is forming a head and shoulders pattern on the daily chart, and a fall below the $75 support could trigger a drop to $60, indicating a heightened risk of selling pressure in the near term.
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Technical Analysis for SOL
Technical Sentiment Analysis for Solana (SOL). As of , Solana (SOL) is exhibiting a Sell technical sentiment. Our proprietary analysis, which aggregates 4 technical signals, shows that 1 indicators are flashing buy, while 3 are indicating sell.
Momentum Indicators: RSI, MACD & Overbought/Oversold Status. Currently, the Relative Strength Index (RSI) for SOL stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the crypto.
Support, Resistance & Moving Averages. From a structural perspective, SOL is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.
Solana (SOL) Support & Resistance Level
| Name | S3 | S2 | S1 | Pivot Points | R1 | R2 | R3 |
|---|---|---|---|---|---|---|---|
| Classic | 66.333 | 71.517 | 76.283 | 81.467 | 86.233 | 91.417 | 96.183 |
| Fibonacci | 71.517 | 75.318 | 77.666 | 81.467 | 85.268 | 87.616 | 91.417 |
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