Solana's price has recently surpassed the $161 mark, supported by bullish momentum. However, analysts express concern over a potential bearish reversal as sell pressure mounts.
A significant number of long contracts exceed short positions, indicating trader confidence but also posing risks. Should Solana's price fall to the $161 support level, over $200 million in long contracts could be liquidated, impacting market sentiment.
Technical analysis shows Solana nearing the overbought zone on the Relative Strength Index (RSI), which often heralds price corrections. This, coupled with broader market caution, could heighten the risk of a sell-off.
The $175 resistance level remains a significant barrier. A failure to maintain $161 could lead to a decline to $155, deepening bearish outlooks. Conversely, a breach at $175 may push prices toward $186, renewing bullish sentiment.
