Solana price has been trading within a horizontal channel since the beginning of the week amid the ongoing risk aversion. Eased concerns over the Omicron variant have boosted the crypto market, whose fear & greed index was at an extreme fear level of 25 in the previous session. However, it remains on the fear end of the spectrum with a reading of 28.
Solana price prediction
SOL has eased after erasing the gains made earlier in the week. On Monday, the altcoin bounced off its intraday low of 176.73. However, it pulled back on Tuesday after hitting a high of 204.37. The formation of a death cross over the weekend signaled curbed gains in ensuing sessions. The bearish pattern formed after the short-term 50-day EMA moved below the long-term 200-day EMA.
At the time of writing, Solana price was up by 0.15% at 190.63. On a four-hour chart, it is trading below the 50 and 200-day EMAs. The technical indicators signal further losses in the near term. Besides, with reference to the fundamentals, risk aversion remains a key bearish driver for the crypto.
The range between the 50-day EMA at 201.75 and prior support zone of 179.35 will remain a crucial one in the ensuing sessions. Below the horizontal channel’s lower border, the bears will have an opportunity to push Solana price to the resistance-turn-support level of 167.47.
On the flipside, the 200-day EMA at 207.77 will likely remain evasive for the crypto in the short term. A move above that zone may yield a trend reversal.