Solana has been virtually stuck at its 50-day moving average for over two weeks, a line that is trending almost horizontally. However, on Tuesday, we are seeing an attempt by the bears to seize the initiative, as the coin is falling following the previous day’s close below this line. Without a swift reversal to the upside, Solana risks taking a significant step lower, breaking the support line near $80, which has held since the start of the year. The next major support level now appears to be the $20 region, which implies a fourfold decline.
Crypto News
According to CoinShares, global investments in crypto funds rose by $1.2 billion last week. Investments in Bitcoin increased by $933 million, in Ethereum by $192 million, in Solana by $32 million, in XRP by $25 million, and in Chainlink by $7 million.
The fourth consecutive week of positive inflows into crypto ETFs reflects improved institutional demand amid Bitcoin’s highs since early February.
The leading cryptocurrency is in a ‘cautious rally’ phase, so the likelihood of breaking through the $80,000 level remains uncertain, CryptoQuant notes. The current phase resembles a transitional stage between negative sentiment and buyer dominance.
The number of active addresses on the Ethereum blockchain, smoothed by a 100-day moving average, has hit a new all-time high, which is a “hidden bullish signal”, notes an analyst at CryptoOnchain.