Risk: After a big move down already, may get a bounce before further selling.
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Bias:
Short-term bias is bearish due to the recent aggressive drop and weak recovery. However, $170 is a key level – next direction depends on whether it holds or breaks. $SOL #TradeStories
The market's cooling off — but the real question is: Is this a healthy pullback… or a bull/bear trap in disguise?
Many traders get caught off guard during these phases. What looks like a simple correction can easily flip into a reversal — or worse, a trap to liquidate late entries.
Here’s what to watch for:
Volume confirmation: Low volume might signal a fakeout
Key support/resistance zones: Are they holding or breaking?
Trend structure: Is the higher-timeframe trend still intact?
News/FUD: Is the move backed by real catalysts or just sentiment?
Don’t let emotions trade for you. Stay patient, manage risk, and wait for confirmation — not assumptions.
SOL is showing clear price action behavior around key supply and demand zones. Here's the detailed breakdown:
1. Current Market Structure:
Price is trading at 144.11, right below a minor supply/order block zone (144–145).
Recent bearish candles show seller pressure from this area.
This zone previously acted as a consolidation area before a sharp drop — increasing its significance as a potential rejection point.
2. Supply Zones (Bearish Order Blocks):
First Supply Zone: 144.00–145.00 A minor resistance zone; if price rejects here, we may see a short-term pullback.
Second Supply Zone: 146.8–147.0 A stronger order block with multiple rejections earlier — a critical zone where institutional sellers may step in again.
3. Demand Zone (Bullish Order Block):
Zone: 142.5–143.2 Price bounced from here recently. If the 144–145 zone rejects price again, this is the likely short-term target for a drop.
4. Scenario Outlook:
Scenario 1: Rejection at 144–145
Bearish pressure resumes.
Price likely to revisit 142.5–143.2 demand zone.
Possible scalp short entry with confirmation.
Scenario 2: Break Above 145
Indicates strength from bulls.
Price will likely push toward the next supply zone at 147.
Reversal expected near 147 if price shows exhaustion or wicks.
5. Trade Plan Idea:
Look for bearish confirmation (e.g., engulfing candle or long upper wick) in 144–145 area for short setup.
If bullish breakout happens above 145 with volume, wait for entry at 146.8–147 with tight stop above the block.
Conclusion: SOL is at a decision point — the 144–145 zone will determine the next short-term move. React to price action confirmation near these key zones.