- Robinhood’s head-and-shoulders pattern signals weakening momentum, with potential downside toward $32-$34 if selling pressure persists.
- HOOD/SOL’s descending triangle shows strong selling pressure; a breakout could lead to gains, while failure risks further declines.
- Despite price compression, HOOD/SOL’s liquidity and market cap remain stable, with traders awaiting a decisive move.
Robinhood Markets, Inc. (HOOD) is facing bearish pressure as its price action signals a potential for bearish continuation according to Crypto analyst Ali. The stock is currently trading at $46.82, down 3.72%. A head-and-shoulders pattern has emerged signaling a potential additional price decline. This technical formation indicates decreasing bullish momentum and the potential for additional downward movement.
Source: Ali
Head-and-Shoulders Pattern Signals Decline
The head-and-shoulders pattern peaks at the left shoulder, a more elevated head, and a lower right shoulder. The neckline, which is placed around approximately $46.82, is a level of support. Price has just moved below this neckline, lending bearish trend even more strength.
Previously, the stock surged to around $64 before experiencing a steep decline. The left shoulder formed at a lower peak, followed by a dip to the neckline. The right shoulder, which appeared after the head, also showed a weaker bullish attempt. This pattern indicates diminishing upward momentum and increasing selling pressure. Consequently, traders are eyeing a potential drop toward the $32-$34 range if the downward momentum continues.
HOOD/SOL Market Structure Shows Compression
Meanwhile, HOOD/SOL displays a descending triangle pattern during the 1-hour timeframe on Raydium, according to Dexscreener. The price currently stands at 4.32M, reflecting a 0.99% decline. The chart highlights a horizontal support level alongside a downward-sloping resistance trendline, confirming strong selling pressure.
Source: Icey
The price action remains within a narrowing range, forming lower highs while maintaining a stable support level. The triangle is approaching its apex, where a decisive breakout or breakdown could occur. Additionally, a blue arrow is drawn at the breakout level, indicating a potential price surge if resistance is breached.
Previously, the price spiked to approximately 18M before plummeting. Since then, it has consolidated and formed the descending triangle pattern. Sellers continue to cap rallies, while buyers attempt to hold the support level. A break above resistance could trigger a bullish movement, while failure to hold support could lead to further losses.
Liquidity providers remain at 13, while the number of holders stands at 82,100. Despite the price compression, market cap and liquidity remain stable. Volume currently sits at 5.164K, showing steady market participation. The next move depends on whether the price breaks resistance or falls below support.
 Faces Bearish Threat as Head-and-Shoulders Pattern Forms){kind=link}