SOL Faces Resistance Amidst Bullish Trends and Strategic Acquisitions

According to Cointelegraph, Solana (SOL) is experiencing a phase of profit-booking near the $209 mark, yet the overall trend remains favorable for the bulls as long as the price stays above $185. Nasdaq-listed DeFi Development Corp recently announced the acquisition of 141,383 SOL between July 14 and July 20, increasing its treasury to 999,999 SOL. The company has also disclosed having $5 million available for future SOL purchases, indicating a strategic interest in the cryptocurrency. In addition to corporate acquisitions, the SOL staking exchange-traded fund (ETF) from REX-Osprey, known as SSK, has shown promising growth. It surpassed $100 million in assets under management within just 12 trading days following its launch on July 2. This rapid accumulation of assets suggests a growing investor confidence in SOL, potentially influencing its market performance positively. The SOL price recently reached the $209 resistance level, where bears have mounted a strong defense. The first significant support on the downside is at $185. A robust rebound from this level could indicate that bulls are attempting to establish it as a new support level, enhancing the likelihood of a breakthrough above $209. Should this occur, the SOL/USDT pair might surge towards $240, with a potential resistance at $220 that could be overcome. However, this optimistic outlook could be invalidated if the price continues to decline and falls below the 20-day exponential moving average, currently at $172. The SOL/USDT pair has initiated a pullback, dipping below the 20-EMA on the 4-hour chart, suggesting that short-term buyers are securing profits. The next critical support level is at $185, which is essential to monitor. If the price rebounds from $185, the pair could retest the $209 level, and a breakthrough could resume the upward trend. Conversely, a break below the 50-simple moving average could signal the beginning of a deeper correction, potentially driving the price down to $170. Investors are advised to conduct their own research and consider the inherent risks involved in trading and investment decisions, as this article does not provide specific investment advice or recommendations.