SOL/USD 1-Hour Technical Analysis｜Key Support Around $170 and Future Outlook【May 2025 Latest】

SOL/USD 1-Hour Chart Analysis: Battle Around $170 and Future Outlook Based on Technical Indicators

Market Background and Detailed Price Movements

As of May 27, 2025, the SOL/USD (Solana/US Dollar) 1-hour chart shows a reversal from the recent uptrend, approaching an important support line near $170. After entering a correction phase from the high near $180 on May 23, the price is currently moving around the 200-hour moving average (200 SMA). Such price fluctuations are thought to reflect investors' profit-taking sales and short-term shifts in market sentiment.

At such critical price points, it is important to combine multiple technical indicators to judge whether the trend will continue or reverse. Below, we analyze mainly moving averages, MACD, ADX, and volume.

Moving Average Analysis: MA50 and MA200 Cross Status and Price Movements

The 50-period moving average (MA50, blue line) and 200-period moving average (MA200, red line) on the chart play a key role in understanding price trends. Currently, the MA50 is approaching the MA200, with a potential "death cross" signal where the short-term moving average crosses below the long-term moving average soon to occur. Moving average crossovers generally indicate trend reversals and should be watched carefully.

Also, the price shows firmness near the 200 SMA support line, but a clear break below this support zone could increase the possibility of a short-term downtrend. Conversely, if the price returns to the MA50 and resumes rising, a short-term rebound can be expected.

MACD Trends: Selling Pressure Dominance and Momentum Decline

The MACD currently lies below the signal line, and the histogram is expanding in the negative zone. This indicates dominant selling pressure and weakening buying momentum. The MACD is an indicator showing short-term price momentum; for details, see the MACD explanation, where crossover timing serves as important buy/sell signals.

However, it is crucial not to rely solely on MACD values but to make comprehensive judgments combining other indicators and price trends.

Trend Strength Evaluation by ADX Indicator

The ADX is at a low level around 20, indicating that there is no clear trend in the market or that the trend momentum is weak. When ADX exceeds 25, the strength of the trend can be confirmed, so future ADX movements are worth monitoring. The current range-bound market implies it is difficult to obtain clear buy or sell signals.

Volume Changes and Price Breakout Reliability

At the breakout near the high on May 23, volume surged sharply, showing strong buying interest, but volume has been declining during the subsequent correction phase. Volume is an important indicator that supports price movements, and decreasing volume signals weakening trend reliability. If large price movements accompanied by volume occur again, it could be a clue to new trend formation.

Important Support and Resistance Levels

Summary: Future Strategy and Key Points

SOL/USD is testing strong support near $170. While short-term selling pressure signs are visible, low ADX and declining volume indicate uncertainty in trend direction and market hesitation.

Therefore, if the $170 support line is clearly broken, prepare for adjustment risk down to around $165, while if a rebound is confirmed, watch for selling pressure returning near $175–$180. Continue to monitor momentum changes and moving average crossover trends carefully and conduct trades with strict risk management.

For more details, also refer to the Momentum Indicator Explanation.

※This article is for informational purposes only and not investment advice. Investment decisions are your own responsibility.

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