Solana Price Forms Bearish Pattern, Could Drop to $100
Solana (SOL) price has been falling this week after meeting strong resistance at $146.9. SOL is currently trading around $138.38, down more than 50% from its yearly high.
Impact of New US Tax Policy
Solana's recent rally was affected by US President Donald Trump's announcement of a 25% tariff on all imported cars, starting April 2. The move is aimed at boosting domestic auto production and is expected to generate an additional $100 billion in annual revenue. However, the policy has raised concerns about a possible economic recession in the US, affecting market sentiment and leading to a decline in the prices of many assets, including Bitcoin and altcoins like Solana.
Solana Price Technical Analysis
The daily chart shows that SOL is forming a “bear flag” pattern, which consists of a sharp decline followed by a consolidation period. If the price breaks below the important support level at $120, SOL could fall to $100, representing a drop of about 30% from the current price. Conversely, if the price breaks above the resistance level at $170, this bearish trend could be invalidated.
Note: The cryptocurrency market is volatile and is affected by many economic and political factors. Investors should consider carefully and stay updated before making investment decisions.
