What is the fate of the Solana coin with the persistence of negativity

The price of SOL currency has collapsed from its bottom and retreated towards the 0.5-0.618 Fibonacci correction support area, indicating the possibility of more declines.

SOL is the native currency of the Solana network, which uses a hybrid consensus mechanism of proof-of-work and proof-of-stake.

According to the daily time frame, the price of Solana has formed a double top pattern in January and February, which usually indicates a bearish trend.

The pattern has been combined with a bearish divergence in the Relative Strength Index (green line), which supports the possibility of a bearish reversal.

In addition, the RSI is below 50, increasing the probability of a bearish trend in price.

If the price continues to decline, the 0.5-0.618 Fibonacci correction support area is likely to act as a bottom.

According to the 6-hour daily technical analysis, SOL has been trading in a price range between $20.80 and $26 since January 14.

During that period, the price briefly deviated above the range before falling back to the range support below the descending resistance line.

The price has been trading within the support area since the beginning of March.

The daily RSI provides conflicting readings, as the indicator is below 50, indicating a bearish trend, while a bullish divergence (green line) often precedes cryptocurrency price increases.

If SOL bounces at $20.80 and breaks away from the resistance line or collapses below the range, it could determine the future path of the currency.

A collapse could lead to a drop to the 0.5-0.618 Fibonacci correction support area at $15.36 - $17.60.

A rebound could test the resistance level up to $26.

The collapse of the Solana currency is the most likely scenario to occur according to the bearish readings of the daily time frame.

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