SOL dipped to a 10-month low Tuesday as crypto market bears returned during the session. After a positive start to the week markets went red. Another token was AVAX that succumbed to the 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.
The chart clearly shows that the selloff was triggered by a failed attempt to breakout the 39 levels of the 14-day RSI indicator.
This point, as seen in the index, has served as resistance in recent weeks and hasn’t moved above that mark since May 5.
SOL bulls are preventing a break at the $38.10 floor. However, if relative strength continues to fall, then it will be possible for a breakout to 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.
Also, this level is slightly lower than the AVAX ten month low at $21.11, which was just over two months ago.
The market is still very close to this point, but prices have continued to consolidate. If traders receive further bearish signals, it’s likely they will already place orders.
It could happen if the Relative Strength Index is below 36.80. This seems to be support.
Were we likely to witness new multi-month lows of AVAX/SOL this week? Please share your views with us in the comments.
Credit for the imageShutterstock. Pixabay. Wiki Commons
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