Is Solana (SOL/USD) consolidation a anticipate takeoff or an extra slide?

• Solana token fell essentially the most in November

• Social metrics are unfavorable for the cryptocurrency

• SOL has been consolidating for weeks and faces additional draw back

Solana (SOL/USD) was one of many worst-performing cryptocurrencies in November. The cryptocurrency got here from a excessive of $38 on November 5 however now trades at simply$13.55. The losses got here within the wake of the FTX collapse. Nevertheless, for nearly three weeks, SOL has been consolidating at or above $13. Does this sign the entry of patrons?

Solana’s consolidation comes amid a troubling on-chain exercise. Based on Santiment information, Solana’s spot and futures markets are struggling, with the commerce volumes at month-to-month lows. As of December 2, the open curiosity on Solana was $208.9 million, a decline of 1.25%.

Moreover, short-position trades have been lively on Solana, with the funding charges remaining within the unfavorable territory. Additional indications have been that there have been extra lengthy liquidations ($207,000) than quick liquidations ($89,000) price of SOL.

Clearly, the information is towards SOL. Social metrics present restricted upside, with the sentiment unfavorable. Consequently, the most recent consolidation might sign sellers’ exhaustion fairly than patrons’ entry. A break to the draw back would welcome a lower cost for SOL.

SOL consolidates at $13 amid bearish momentum

SOL/USD Chart by TradingView

Technically, SOL is bearish within the longer-term outlook. The RSI is escaping the oversold stage however nonetheless stays means beneath the midpoint. A slight restoration noticed SOL transfer to the 20-day MA, however the worth upside continues to be muted.

When to purchase SOL?

Solana’s worth continues to be bearish. Buyers trying to purchase SOL ought to anticipate the bear market to subside earlier than scooping the token. A break beneath the consolidation zone may see SOL hit single-digit costs.

The place to purchase SOL

eToro

eToro provides a variety of cryptos, resembling Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro customers can join with, study from, and replica or get copied by different customers.

Purchase SOL with eToro at present

Disclaimer

Binance

Binance is among the largest cryptocurrency exchanges on this planet. It’s higher suited to extra skilled buyers and it provides a lot of cryptocurrencies to select from, at over 600.

Binance can be identified for having low buying and selling charges and a a number of of buying and selling choices that its customers can profit from, resembling; peer-to-peer buying and selling, margin buying and selling and spot buying and selling.

Purchase SOL with Binance at present