Recently, SOL has experienced a significant price correction and has now reached the important support level at the lower band of the Bollinger Bands and the lower edge of the 70% value zone. This trend occurred against the backdrop of shrinking volume and decreasing open interest, creating a market environment of dual pressure.
However, in the current price range of $196-$197, the market seems to be quietly brewing changes. Technical analysis shows that short-term funds are accumulating buy orders in this area, preparing for a possible rebound. Market participants are closely watching the Point of Control (POC) gap near $203, which could become a key breakout point for a price rebound. If SOL can break through this level with volume, a rapid increase of about 6% is not ruled out.
From the volume distribution, the market structure shows several key intervals:
1. The POC area at $203.63, although there is some selling pressure above, has an upward volume of only 47%, indicating that the main funds have not fully intervened, which may be a 'pseudo resistance level'.
2. The range of 202.35-205.55 USD is a high volume node (HVN), and if the price retraces to this level, it may encounter strong support. Meanwhile, the range of 207.47-208.11 USD constitutes secondary resistance.
3. The market still has two low volume nodes (LVN): one near the current price at $196.27-$196.91, which could become a trigger point for a short-term rebound; the other at $215.78-$217.70, which, if broken, may become a channel for accelerated upward movement.
4. 70% volume coverage range is $186.99-$211.95, and the current price is at the 25% position below this range, indicating a mild oversold condition with the potential for mean reversion.
It is worth noting that in the range of 196-197 USD, the volume of upward transactions accounted for 66%, indicating a relatively active buying interest. However, near the POC, the volume of upward transactions was only 47%, suggesting that the market has not yet formed a consistent bullish consensus.
Overall, the technical aspect of SOL currently shows potential rebound opportunities, but investors still need to closely monitor the changes in volume and the breakout of key price levels to confirm the potential upward trend.
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SneakyFlashloan
· 09-02 06:01
First look at the volume, then look at the price.
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GasGuzzler
· 09-02 01:46
Bullish traders pay attention to the resistance level.
Recently, SOL has experienced a significant price correction and has now reached the important support level at the lower band of the Bollinger Bands and the lower edge of the 70% value zone. This trend occurred against the backdrop of shrinking volume and decreasing open interest, creating a market environment of dual pressure.
However, in the current price range of $196-$197, the market seems to be quietly brewing changes. Technical analysis shows that short-term funds are accumulating buy orders in this area, preparing for a possible rebound. Market participants are closely watching the Point of Control (POC) gap near $203, which could become a key breakout point for a price rebound. If SOL can break through this level with volume, a rapid increase of about 6% is not ruled out.
From the volume distribution, the market structure shows several key intervals:
1. The POC area at $203.63, although there is some selling pressure above, has an upward volume of only 47%, indicating that the main funds have not fully intervened, which may be a 'pseudo resistance level'.
2. The range of 202.35-205.55 USD is a high volume node (HVN), and if the price retraces to this level, it may encounter strong support. Meanwhile, the range of 207.47-208.11 USD constitutes secondary resistance.
3. The market still has two low volume nodes (LVN): one near the current price at $196.27-$196.91, which could become a trigger point for a short-term rebound; the other at $215.78-$217.70, which, if broken, may become a channel for accelerated upward movement.
4. 70% volume coverage range is $186.99-$211.95, and the current price is at the 25% position below this range, indicating a mild oversold condition with the potential for mean reversion.
It is worth noting that in the range of 196-197 USD, the volume of upward transactions accounted for 66%, indicating a relatively active buying interest. However, near the POC, the volume of upward transactions was only 47%, suggesting that the market has not yet formed a consistent bullish consensus.
Overall, the technical aspect of SOL currently shows potential rebound opportunities, but investors still need to closely monitor the changes in volume and the breakout of key price levels to confirm the potential upward trend.