Key takeaways
- Solana’s SOL has fallen about 1% over the past 24 hours and is trading near $160 after dropping to $146 on Tuesday.
- If the recovery continues, the cryptocurrency could reclaim $170 as an immediate target.
SOL recovers after Tuesday’s sharp drop
SOL, the native token of the Solana ecosystem, is trading around $160 after suffering steep losses on Tuesday. The token fell to $146, marking its lowest level since August 4, before beginning a rebound.
Over the past several hours SOL has gained nearly 5% and is currently changing hands at about $159 per token. This recovery is taking place alongside a broader bounce across the cryptocurrency market after the earlier sell-off.
Bitcoin briefly dipped below $100,000 on Tuesday but has since recovered and trades above $102,000. Ether has also bounced back, trading above $3,300 after briefly testing the $3,000 psychological level.
SOL could rise to $170 if the market recovery holds
The SOL/USD four-hour chart remains technically bearish after recent underperformance, but early signs of a turnaround are emerging. Technical indicators are still tilted toward sellers yet show potential for a short-term rebound.
A four-hour RSI reading near 32 indicates SOL is in oversold territory, which could provide a pause in selling pressure and open the door for a higher move in the near term. MACD lines remain in bearish territory, reflecting recent momentum favoring sellers.
If the recovery continues, SOL could push toward the first significant resistance level at $170 in the coming hours. A sustained bullish move might extend the rally toward the recent swing high near $188.
Conversely, if buyers fail to defend the $150 psychological level, SOL could slide toward the June 27 low around $136. At present, the trend shows signs of stabilizing and buyers appear to be regaining control. If daily support levels hold, SOL may climb further over the next hours and days.