Solana’s Ichimoku Cloud Indicates a Strong Bearish Trend
Currently, Solana’s Ichimoku Cloud analysis is presenting a stark bearish trend. The price remains significantly below the cloud, indicating a robust downward momentum. The presence of a red cloud ahead symbolizes a pessimistic market sentiment; moreover, the Leading Span A (illustrated by the green line) is found beneath Leading Span B (the red line).
This positioning denotes that the prevailing negative momentum is likely to persist. Additionally, the Tenkan-sen (the blue line) sits beneath the Kijun-sen (the red line), which further accentuates the bearish market pressure. The Chikou Span (the green lagging line) is also trailing below the price movement, thereby corroborating the overall negative sentiment.
Although there was a brief consolidation phase, the SOL price failed to regain its momentum and has recently fallen again. Currently, the price appears to be stabilizing; however, the bearish structure surrounding the asset remains intact.
For a reversal to be indicated, the Solana price would need to breach both the Tenkan-sen and Kijun-sen, and then ascend through the cloud barrier. Until such pivotal Ichimoku levels are surpassed, it appears the bearish outlook will likely endure.
Solana Whales Attempting a Market Recovery
The number of Solana whales—addresses holding 10,000 SOL or more—has displayed a steady decline over the past month, registering only 5,017 on February 16, marking the lowest figure since December 2024.
This reduction suggests that significant holders are offloading their assets, contributing to the ongoing bearish trend observable in the Ichimoku Cloud. When whales downsize their holdings, it often leads to increased selling pressure, thereby reinforcing negative momentum within the market.
This trend aligns with the pessimistic indicators noted in the cloud analysis.
Understanding whale activities is crucial as these large holders can significantly sway price movements within the market. Their trading actions often act as indicators for overall market trends, given their control over a substantial portion of supply.
Recently, there is a slight upsurge in the number of Solana whales, reaching 5,067; though still below previous levels, this figure shows promise against historical values. This trend indicates a cautious accumulation phase, yet is insufficient to alter the bearish sentiment highlighted by the Ichimoku metrics.
Is Solana Poised for Its Lowest Levels in Six Months?
Examination of SOL’s Exponential Moving Average (EMA) lines reveals a pronounced bearish setup, with short-term EMAs positioned below long-term ones and a notable gap between them. This scenario signals strong downward momentum and illustrates that selling pressure remains dominant.
Should this decline continue, SOL could potentially test the support level at $133. A breach of this threshold could lead to further descents down to $120 or even $110—levels not seen since August 2024.
The significant distance between the EMAs consolidates the strength of this bearish trend, corresponding with the negative sentiment derived from the Ichimoku analysis.
Conversely, should a trend reversal occur, it might indicate a change in market dynamics. If SOL manages to reclaim momentum effectively, it could first encounter resistance at $152. A breakthrough at this level would pave the way for testing $171, and if surpassed, SOL might even rally back to $180. Attention is also focused on a $1.9 billion Solana unlock event occurring on March 1, which could further influence its price movement.
