Solana drops 6%: Is SOL a good buy anymore?

Solana price analysis on the daily chart shows that the token has dropped more than 6% in the last 24 hours, as indicators are still bearish for the token. At the time of writing, the price of 1 SOL is $104, and the bulls received a major resistance at $120, which seemed to have ended the chances of SOL breaking above $120, as seen in our Solana price analysis for Feb 11, 2022.

The data from CoinMarketCap shows that the trading volume of the token dropped 30.96% in the last 24 hours, followed by a 6.06% drop in the market cap. The current rank of the token is 8th on the market, and it seems that Solana has failed to break into an uptrend. The daily candle for Feb 11, 2022, opened at a price of $106.18 and reached a daily high of $106.61. However, the daily low for the token stands at a price of $103.23. 

However, TheCoinRise is bullish on Solana for the long term following the launch of Solana Pay which aims to provide seamless and instant crypto transfers to merchants.

Solana price analysis on the daily chart

Solana price analysis on the chart below shows that the token failed in its attempt to break into an uptrend following a surge in selling volume.

Source: TradingView

The RSI levels have re-entered the bearish zone following a drop in prices and now reads 41.59. The gradient of the line is negative, which means that lower prices could follow.

Source: TradingView

The MACD indicator confirms that the MACD line (blue) continues to progress above the signal line (orange). In the end, the bears are still in control of the price action.

Source: TradingView

Conclusion

Solana price analysis on the daily chart for Feb 11 confirms that it is going to be hard for Solana to surge above $120 in the coming days. However, it can also be said that for the long term, SOL is bullish.