On the fifth day after SOL broke down, the chart has actually quieted down: it’s grinding in a narrow range between 92 and 95. Today it’s at 95.0, with a range of just 1.4%.
But quiet doesn’t mean safe. Look up: the 7-day moving average at 97.2 and the 99-day moving average at 98.6 are both overhead, while the 25-day moving average at 103 is even farther away. It’s a textbook bearish alignment. These past few days, the rebound hasn’t even reached the shortest moving average. Volume is 850 million, and the funding rate is 0.01%. Neither buyers nor sellers are making a move; everyone is waiting.
Waiting for what? For one of the two levels to give way first: a close back above 98.6 would invalidate the breakdown, with recovery targets at 103 and 105; a close below 92.25 would turn the sideways action into distribution, with 90 as the starting point and 85 in sight. Within this 92-to-98 range, whether it goes up or down won’t change the outcome—it’ll only change how you feel.
After a breakdown, the scariest thing isn’t a drop, but sideways movement—it wears down your discipline and tempts you to place a bet in the middle. I won’t, and I suggest you wait until things are clear before acting.
$SOL
(Personal review notes; not investment advice. DYOR)
But quiet doesn’t mean safe. Look up: the 7-day moving average at 97.2 and the 99-day moving average at 98.6 are both overhead, while the 25-day moving average at 103 is even farther away. It’s a textbook bearish alignment. These past few days, the rebound hasn’t even reached the shortest moving average. Volume is 850 million, and the funding rate is 0.01%. Neither buyers nor sellers are making a move; everyone is waiting.
Waiting for what? For one of the two levels to give way first: a close back above 98.6 would invalidate the breakdown, with recovery targets at 103 and 105; a close below 92.25 would turn the sideways action into distribution, with 90 as the starting point and 85 in sight. Within this 92-to-98 range, whether it goes up or down won’t change the outcome—it’ll only change how you feel.
After a breakdown, the scariest thing isn’t a drop, but sideways movement—it wears down your discipline and tempts you to place a bet in the middle. I won’t, and I suggest you wait until things are clear before acting.
$SOL
(Personal review notes; not investment advice. DYOR)
