Biggest Movers: SOL Slips 10% as Crypto Bears Return to Action 

SOL neared a ten-month low on Tuesday, as bears returned to crypto markets during the session. Following a strong start to the week, markets turned red, with AVAX being another token to fall victim to the latest red wave.

Solana (SOL)

SOL was back in the red on Tuesday, as today’s sell-off pushed prices closer to their lowest point since August last year.

Following a peak of $42.99 to start the week, SOL/USD slipped to an intraday low of $37.78 earlier today, which is roughly 11.50% lower than yesterday’s high.

Tuesday’s drop sent SOL back towards its long-term support point of $38.10, and slightly closer to its ten-month low below this floor at $35.50.

SOL/USD – Daily Chart

Looking at the chart, the sell-off took place following a failed breakout attempt of the 39 level on the 14-day RSI indicator.

As seen from the index, this point has acted as a resistance level in recent weeks, and has not moved beyond that mark since May 5.

So far, SOL bulls have fought off bears to prevent a full-on break of the $38.10 floor, however should relative strength continue to decline, then a breakout will likely occur.

Avalanche (AVAX)

AVAX was another notable mover on Tuesday, as bearish pressure sent the world’s fourteenth-largest crypto token lower.

Less than 24 hours after hitting a high of $26.58, AVAX dropped by $3 in today’s session, falling to a low of $23.24 in the process.

Like SOL, today’s drop in price saw AVAX/USD move to a support level, in this instance the $22.70 point.

AVAX/USD – Daily Chart

This level is also slightly above a ten-month low, which for AVAX is at $21.11, a low which came just over two weeks ago.

Despite being so close to this position, prices continue to consolidate, however it is likely that traders have already placed orders, should they receive any further bearish signals.

This could occur if the Relative Strength Index falls below 36.80, which appears to be a point of support.

Will we likely see new multi-month lows in both AVAX and SOL this week? Let us know your thoughts in the comments.

Eliman Dambell

Eliman brings a eclectic point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX.




Image Credits: Shutterstock, Pixabay, Wiki Commons

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