In the final quarter of 2023, Solana emerged as a standout altcoin project during a rally in the crypto market. The Layer-1 network gained traction through airdrop events and a surge in memecoin tokens, but recent fraud incidents have caused concern among users, impacting the price of SOL.
Technical analysis of the four-hour Solana chart highlights a descending channel formation, providing key insights without any significant support or resistance breaks. Notably, the recent formation shows support at the EMA 200 level, indicating a positive short-term outlook.
Critical support levels to watch on the four-hour Solana chart are $93.29, $90.75, and $87.20. A close below the $90.75 level, intersecting with the EMA 200, could trigger selling pressure on SOL.
On the resistance side, key levels to monitor are $96.33, $100.16, and $104.26. A four-hour bar close above the $104.26 level, intersecting with the formation’s resistance line, could significantly boost SOL’s momentum.
The SOL/ETH pair also shows a bearish sign with the first four-hour bar closing below the support line and EMA 200, indicating Solana’s depreciation against Ethereum. Important support levels for the SOL/ETH pair are 0.03793, 0.03604, and 0.03424, with resistance levels at 0.03974, 0.04131, and 0.04315.