Solana (SOL) Under Pressure as OpenSea Transaction Volumes Slide

Key Insights:

• On Sunday, Solana (SOL) joined the broader crypto market in the red with a 1.72% loss.
• Falling Solana-based NFT transaction volumes on OpenSea were SOL price negative over the weekend.
• Technical indicators are turning bearish, with SOL now sitting below the 200-day EMA.

Solana (SOL) fell by 1.72% on Sunday. Partially reversing a 2.72% gain from Saturday, SOL ended the day at $111.02.

Bearish sentiment across the broader crypto market weighed on SOL, which ended the week down 18.91%.

Since revisiting $143 on April-02, SOL has fallen on five of the last eight sessions.

Solana-Based NFT Trading Volumes Fail to Impress

Last Thursday, OpenSea announced the launch of Solana-based NFT trading on the OpenSea marketplace.

For the longer term, the inclusion of Solana-based NFTs on the OpenSea marketplace remains price positive. Over the weekend, however, transaction numbers and trading volumes have failed to impress.

According to Dune Analytics, daily NFT transactions spiked on April 07, with 12,012 transactions before sliding to just 2,723 on Sunday. Transaction volumes fell for a third consecutive day.

Trading volumes have also fallen sharply from an early spike while rising modestly from Saturday’s low.

SOL Price Action

At the time of writing, Solana was down by 2.14% to $108.64. A bearish start to the day saw SOL slide to an early morning low of $108.59.

Technical Indicators

SOL will need to move through the $112.0 pivot to make a move through the First Major Resistance Level at $1150.

Broader market sentiment would need to improve to support a move through to $110.

In the event of an extended rally, SOL should test the Second Major Resistance Level at $119.0 and resistance at $120. The Third Major Resistance Level sits at $126.0.

Failure to move through the pivot would bring the First Major Support Level at $108.0 into play. Barring another extended sell-off throughout the day, Solana should avoid sub-$105. The Second Major Support Level at $105.0 should limit the downside.

The EMAs and the 4-hourly candlestick chart (below) send a bullish signal. Following Saturday’s session, SOL currently sits below the 200-day EMA at $109.3. This morning, the 50-day EMA narrowed to the 100-day EMA. The 100-day EMA closed in on the 200-day EMA, a bearish signal.

A bearish cross of the 50-day EMA through the 100-day EMA would bring sub-$105 into play.