A downtrend that could push Solana to $ 70; 45% drop in price?

In the 1-week view of the Solana market, a chart pattern can be seen that if the market continues to decline, it can lower the price to $ 70.

To Report Kevin Telegraph, As the 1-day view of Solana’s market shows, activating the Soroshaneh pattern on the chart could push the price down 45% to $ 70.

The chart below shows that the price of Solana last September (September) with an upward jump to near $ 217, then fell to support of $ 134 and then until November (November) 2021 reached its historic high of $ 260 . Solana’s price fell again last week to $ 134 support and soon reached $ 87.73 at its lowest level for 2022.

Solana’s recent price movements seem to have shaped the Soroshaneh pattern; A descending graph pattern that includes three consecutive peaks. The middle peak of this pattern, called the “head”, is at $ 257, and the other two peaks, called the shoulders, are at $ 200 and $ 210.

The three peaks of this pattern are above the $ 134 support, which is called the “neckline”. A weekly candle crossing below this level could lead to a deeper price drop. The amount of this fall is equal to the maximum distance between the neckline and the middle peak or head of the pattern.

As the chart shows, the size of the fall for Solana is about 45%, which could bring the price close to $ 70.

Solana prices have fallen more than 30 percent in the past seven days and are now about 55 percent away from their all-time high. However, other top currencies in the market have experienced similar conditions.

Many experts believe that the main reason for the recent decline in the digital currency market is the Federal Reserve’s decision to slow down the purchase of $ 120 million worth of securities per month and to increase the bank interest rate by three stages in 2022.

The US Federal Reserve’s expansionary monetary policy over the past few months has significantly contributed to the jump in the value of the digital currency market from $ 128 billion in March 2020 to $ 3 trillion in November 2021. Now, however, whispers of a resumption of contractionary monetary policy in the United States have led investors to restrict their activities in markets that have already seen significant growth. A concrete example is the Solana market, which has grown by 12,500 percent during 2020.

So if the digital currency market continues to decline in the coming days, we will have to wait for the price of Solana to fall to the target of the bearish pattern at $ 70.