SOL holding $162, next $145?

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

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• SOL's Open Interest has gone from 24m SOL to now 32m SOL, as the price has gone from $200 down to $165.
• SOL's Funding Rate has fluctuated between negative and positive.
• Overall, this may need more reset, and this will likely be a time capitulation/reset rather than a price reset.

SOL's open interest:

Technical analysis

• SOL broke out from its main downtrend line, but it couldn't reclaim the horizontal level of $203. The price was then rejected from there and the price immediately moved down to the next horizontal support at $165. This is a good example of how crucial key horizontal levels can be for price.
• The price is now at the next horizontal support of $162.
• Beneath the current support, we have $145 and $120 as the next two key levels to the downside.
• The RSI on the Daily and on smaller timeframes is now in oversold territory, whilst it's also well below its moving average.
• To the upside, $188 is likely to be the next local resistance.

• Next Support: $162
• Next Resistance: $188
• Direction: Neutral
• Upside Target: $188 (maybe $203)
• Downside Target: $145

Cryptonary's take

If BTC doesn't break down here, then SOL might be due for a small bounce in the short term. We're at a key horizontal support, with the indicators being quite oversold. However, we wouldn't expect $188 to say $203 to be flipped. It's possible we get into that zone, but we don't expect the price to reclaim $203 and move higher from there in the short term.