{"id":17630,"date":"2025-03-13T16:16:32","date_gmt":"2025-03-13T16:16:32","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=17630"},"modified":"2025-03-13T16:16:32","modified_gmt":"2025-03-13T16:16:32","slug":"solana-price-bottom-below-100-death-cross-hints-at-30-drop","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=17630","title":{"rendered":"Solana price bottom below $100? Death cross hints at 30% drop"},"content":{"rendered":"
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\"Solana<\/p>\n

Solana (SOL) <\/a>price completed a \u201cdeath cross\u201d on the one-day chart on March 12, as the altcoin consolidated near its long-term support level at $125. <\/p>\n

This could potentially accelerate the SOL price sell-off in the near term for a drop below $100 for the first time since February 2024. <\/p>\n

\"Markets,
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Solana\u2019s 1-day chart. Source: Cointelegraph\/TradingView<\/em><\/p>\n<\/figcaption><\/figure>\n

A death cross occurs when a bearish crossover occurs between the 50-day and 200-day simple moving averages (SMAs), with the long-term indicator above the short-term indicator. <\/p>\n

Last month, the 50-day and 200-day exponential moving averages (EMAs) triggered a death cross on Solana\u2019s one-day chart, after which prices dropped 17%, from $137 to $122. <\/p>\n

While the SMA and EMA death crosses carry similar implications, the EMA triggers the death cross faster since it responds more quickly to price changes. A double death cross from the SMA and EMA will likely increase the possibility of a correction. <\/p>\n

Historically, the odds are neutral for Solana. Since its inception, SOL\u2019s price has witnessed a death cross three times (including 2025) when prices have been on a 90-day or higher downtrend. <\/p>\n

The first death cross in 2022 triggered a 90% collapse, but the FTX\u2019s fiasco escalated its severity. The second death cross occurred in September 2024, but it reversed within a month, leading to the Trump rally. <\/p>\n

Related: 3 reasons why Ethereum can outperform its rivals after crashing to 17-month lows<\/strong><\/em><\/a><\/p>\n

Yet, the current structure and sentiment mirror the 2022 death cross when we compare market conditions. On both occasions, a new all-time high preceded the downtrend, which led to the death cross.<\/p>\n

As Cointelegraph reported<\/a>, Solana\u2019s revenue dropped 93% since January, dropping from $238 million to $32 million. This indicates a current lack of activity on Solana\u2019s network after the end of the memecoin frenzy.<\/p>\n

Can Solana traders defend $125?<\/h2>\n

Based on its technicals, Solana remains in a tricky spot when comparing previous death cross returns and collective market sentiment. <\/p>\n

Solana must hold support between $125 and $110 for a bullish reversal. Since March 2024, SOL prices have rebounded six times after testing the support range, closing above $125 on each weekly retest. <\/p>\n

\"Markets,
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Solana 1-week chart. Source: Cointelegraph\/TradingView<\/em><\/p>\n<\/figcaption><\/figure>\n

A weekly close below $125 will signal market weakness, potentially increasing the likelihood of a drop below $100. The immediate price target after $110 is around $80 for Solana, which is a significant 30% correction. The downtrend target carries confluence with the weekly 0.5 Fibonacci retracement line. <\/p>\n

\"Markets,
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Solana bullish divergences on the 1-day and 4-hour chart. Source: Cointelegraph\/TradingView<\/em><\/p>\n<\/figcaption><\/figure>\n

However, the bulls will pin their hopes on a bullish divergence between the price and relative strength index (RSI) on the 1-day and 4-hour charts. <\/p>\n

If Solana manages to avoid another lower low, the divergences will remain valid, which can push prices higher above $125, enabling Solana to avoid a drop below $100 and possibly establish a bottom at $112. <\/p>\n

Related: Will Bitcoin price reclaim $95K before the end of March?<\/strong><\/em><\/a><\/p>\n

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<\/p>\n