Solana (SOL) Price Prediction: SOL Plunges Below $170 as the Bulls Defend the Support at $166

While the possibility of reclaiming $180 revokes, the fear of a bullish trap hovers over the SOL price rally

Solana (SOL) price encountered a 7% decline on Friday as market sentiments turned sour, leading to a drop in crypto prices. Despite the launch of Ethereum ETFs, Solana has outperformed Ethereum in terms of weekly revenue amidst the memecoin craze.

However, SOL/ETH has been consolidating below the all-time high, indicating a potential risk for a breakout. This move played out during the early trading hours with a bearish twist. Bulls are showing some strength, but the price could drop another 10% by the end of the week.

SOL price faced a double rejection from $190 as it tried to reach $200 over the past couple of months. With the pullback, Bollinger Bands have started contracting and the price is set to drop below the average levels of the bands.

Moreover, the Directional Movement Index (DMI) is about to undergo a bearish crossover, which would confirm the initiation of a bearish trend. Yet, the bulls have some strength left that might trigger a rebound.

The token previously tested a key support at $166 and managed to spark a rebound. If bulls regain their footing within the resistance-turned-support zone between $171 & $176, the bearish trajectory could be halted temporarily.

However, the bullish scenario seems unlikely as crypto market sentiments continue to favor the bears, suggesting that a drop to $155 could be on the horizon if Solana (SOL) fails to hold above $165.