Solana price analysis: SOL’s uptrend further delayed as volume takes a dip

Solana price analysis is bearish in the short term as the launch of the Grayscale Solana Trust will lead to increased investment
Solana price analysis is bearish in the short term as the launch of the Grayscale Solana Trust will lead to increased investment

Solana price analysis for Jan 30, 2022, brings a very sluggish price movement for the SOL token. The token has reclaimed the 7th position in the market after falling to the 8th position, as previously reported by TheCoinRise. However, the token has been on a downtrend, and it is clear from our Ethereum price analysis for Jan 30 that ETH is outperforming SOL. 

The data from CoinMarketCap shows that the trading volume of SOL dropped by nearly 31.23% in the last 24 hours, followed by a 3.26% price drop in the same time period. On the other hand, the market cap of SOL dropped by 1.43%. However, Solana has recovered this week after dipping below $90, as per Solana price analysis for Jan 25.

The daily candle for Jan 30 was initiated at a price of $96 and reached a daily high of $97.6. However, a decrease in volume caused the prices to fall to the daily low of $93.46. Moreover, as per our Solana price analysis, it is important for SOL to reclaim the $100 price level. 

Solana price analysis on the daily chart

The RSI level on the chart below shows that SOL is right between on the doorstep of oversold levels. Recently, in a recent Solana price analysis, TheCoinRise noted that Solana was being oversold and, since then, has recovered. However, the situation doesn’t seem very good for SOL as the token once again aims for oversold levels.

Solana price analysis
Source: TradingView

The price action is still very sluggish and situated in the lower end of the Bollinger Bands. If selling volume increases, SOL might break out from the lower end, leading to lower prices.

Solana price analysis
Source: TradingView

Conclusion

Solana price analysis is bearish in the short term. However, it is to be noted that the launch of the Grayscale Solana Trust will lead to increased investment in the SOL token. Therefore, it might be the right time to buy the dip.

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