SOL is down by more than 10% today

The cryptocurrency market has performed poorly for the second consecutive day this week.

The cryptocurrency market has underperformed over the past 24 hours. The market has lost nearly 5% of its value during that period, with the total market cap now below $1.3 trillion.

Bitcoin maintains its price above $30k despite losing 4.5% of its value in the last 24 hours. Ether is trading below $1,900 once again, down by 7% over the past few hours.

SOL, the native token of the Solana ecosystem, is the worst performer amongst the top 10 cryptocurrencies by market cap today. SOL is down by 10% over the last 24 hours.

SOL has been underperforming since the Solana network was halted yesterday. Solana’s validators were not able to process new blocks for the last five hours, causing a total shutdown of all Solana applications.

Block production on Solana Mainnet Beta has halted. Validator operators should prepare for a restart in mb-validators on Discord. https://t.co/gRJJRqEMPn

— Solana Status (@SolanaStatus) June 1, 2022

The downtime was caused by a bug that affected how the Solana blockchain processes a niche type of transaction that’s designed for offline use cases. The Solana network has recorded a few outages over the past year. 

Key levels to watch

The SOL/USD 4-hour chart is bearish as Solana has been underperforming over the past few days. The technical indicators show that Solana is currently in bearish momentum.

The MACD line is below the neutral zone, indicating negative performance. The 14-day RSI of 38 shows that Solana is currently oversold. 

At press time, SOL is trading at $40.9 per coin. If the bearish sentiment thickens, SOL could drop below the first major resistance level at $37 before the end of the day.

An extended negative performance could see Solana trade below the $35 mark for the first time this year.