Is Solana (SOL) Price Aiming to Break the Losing Streak?

The Solana (SOL) price has been on a free fall for the last five intraday sessions, losing nearly 15%. Moreover, except for the buying sessions, this has been a bearish month for Solana.

The SOL price performance highlighted a 22% asset value loss this month. Solana exchanged hands for close to $138.5 when writing, recording a nearly 1.08% loss intraday.

Let’s determine whether Solana Crypto could break this loss and recover in the next week.

Social Sentiments Highlight Increasing User Engagement

Despite the losing trend in the recent sessions, the analysts noted an essential development in on-chain metrics: social metrics. The social metrics include social dominance, volume, and social media platform activities.

As per the analysts, the social dominance and volume curve have improved in recent sessions. It indicated the rising engagement of Solana crypto on social media platforms like X (formerly known as Twitter), Telegram, etc.

Moreover, the other social metric, the Twitter follower curve, hinted at a positive growth of nearly 2000 weekly users. The increasing users’ engagement over social media often positively impacts asset prices.

Solana boasts a market capitalization close to $64.67 Billion, placing it at the 5th in the crypto space. The transaction volume has dropped to $2.19 Billion, losing 9% a day. Currently, the volume-to-market cap ratio at 3.42% suggests low volatility in the crypto.

Can Solana Price Continue to Slide Toward the $130 Level?

The recent selling pressure has widened the losses incurred this month again. Solana experienced a tough month induced by volatility. The SOL price started in August with a sharp decline from $180 to $110.

After that, the bulls turned aggressive, and the price recovered to $163. Again, the bearish forces dragged the price close to the $140 level.

From a technical standpoint, the Solana crypto price has lost the support of important key moving averages of 20 to 50 days. Additionally, it does not have the backing of the 200-day EMA, indicating weakness.

The $140 level may act as immediate support on the lower side. If it is breached, it may allow sellers to dominate till the next support of the $130 level.

At the time of writing, the RSI and 14-day SMA line had stepped below the mean line of 50. Moreover, a bearish crossover of both lines was witnessed, indicating a possible bearish trend continuation.

Solana experienced a significant decline, losing nearly 15% over the last five sessions and 22% this month. Despite the bearish trend, social metrics show positive growth, with increased social media engagement.

The month has been volatile for Solana, dropping from $180 to $110, then recovering to $163 before falling again. SOL has lost support from key moving averages of 20, 50, and 200-day EMAs.

The Solana price hovered near $140, which was immediate support. It may slide toward $130 if the Bulls fail to defend. Both RSI and 14-day SMA indicated a potential bearish continuation.

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