$XPL Why I am Buying the Fear (Data Analysis)
Everyone is looking at the red candles on Plasma (XPL) today and panicking. But if you open the 4 Hour Chart, the story is completely different.
I have been tracking the on-chain volume, and here is what the "Smart Money" is doing while retail sells:
1. The "Iron Support" Level 📉
We are seeing a massive buy wall at $0.12- $0.13. Every time the price touches this zone, it bounces instantly. This tells me that whales are defending this level. As
$BTC will show the signs of recovery we will see the surge in plasma too.
2. RSI Divergence 📊
The price of
@Plasma is making lower lows, but the RSI is making higher highs. In technical analysis, this is a classic Bullish Divergence. It usually happens right before a trend reversal.
3. The "Unlocking" Narrative 🔓
People are scared of the January 25th unlock. But historically, prices often drop before an unlock (fear) and pump after the unlock (relief). We are in the "fear" phase right now.
My Trade Setup:
• Entry: $0.129-0.13 (DCA zone)
• Stop Loss: $0.115 (Tight risk management)
• Target: $0.145 (Next resistance)
I am not "moon boying" this. I am trading the levels. The risk/reward ratio here is 1:3, which is a math trade I will take every single time.
Are you watching the support, or do you think it breaks lower? Let's discuss in the comments. 👇
#Plasma #CryptoTradingInsights #TechnicalAnalysiss #ChartAnalysis