Solana Price Shows Signs of Recovery: Bullish Divergence and Key Support
Solana’s recent price action has been marked by a prolonged period of bearish pressure, but a clear bullish divergence has formed on the daily chart, suggesting that momentum may be shifting back towards buyers. This divergence, combined with the cryptocurrency’s stabilization in a long-tested support zone, indicates early signs of strength and the possibility of a short-term reversal towards higher resistance levels.
A momentum shift is emerging as Solana stabilizes in a long-tested support zone, with market behavior reflecting early accumulation after prolonged selling pressure. The divergence suggests that downward exhaustion could be forming below recent lows, setting the stage for a potential relief move. Key technical points of Solana’s price include a daily bullish divergence between price and RSI, with the major support at $131 continuing to act as a reaction zone.
Technical Analysis and Key Levels
Solana is currently printing one of the most reliable early reversal signals in technical analysis: a bullish divergence on the daily time frame. While the price has recently formed a lower low, the RSI has formed a higher low, indicating that sellers are losing strength even as price continues to trend lower. The $131 area has become a focus in recent sessions, with this area holding as a support level on multiple occasions and the price hovering above it for several days.
SOLUSDT (1D) chart, source: TradingView
The next important level to watch is the low in the value area, with reclaiming this area signaling that buying pressure is returning and that Solana may be preparing for a rotation towards the next significant resistance at $167. This level is consistent with high time frame resistance and has historically acted as a key decision point for trend continuation or rejection. New Solana ETFs from Grayscale and VanEck launching amid rising volatility could also help influence price reaction at this key level.
Solana RSI, Source: TradingView
Conclusion and Price Action
Price action and momentum indicators are now converging, suggesting that a short-term reversal is becoming more likely. Bullish divergences often occur at the end of aggressive sell-offs, and Solana’s recent behavior fits this pattern. Although confirmation is still pending, early signals point to a possible change in market sentiment. If Solana maintains support at $131 and activates bullish divergence, a move towards $167 could follow. A loss of support would delay the reversal and return the asset to a bearish continuation phase.
For more information on Solana’s price movements and analysis, visit https://crypto.news/solana-price-bullish-divergences-131-incoming-strength/
