【$ON Signal】1H level overbought, beware of intraday pullback

$ON 1H level RSI has surged to 94, the price has pierced the upper band, buying depth is unbalanced -4.07%. The 4H MACD histogram is still expanding, but the 1-hour volume has shown fatigue compared to the previous massive candle. The funding rate of 0.0991% is relatively high, providing fuel for short-term bears. Chasing longs at this position is no longer very profitable given the risk-reward ratio.

🎯Direction: Wait and see, look for a pullback to go long or a breakout signal to chase longs.

⚡Entry/Order placement: Aggressive traders can try a small short position around the current price of 0.12685, while conservative traders wait for a pullback to around 0.09088 to go long.

🛑Stop loss: Place the short stop loss above 0.12785.

🚀Target 1: First target for short is 0.12734.

🚀Target 2: Second target for short is 0.12785.

🛡️Trading management:
- Execution strategy: If shorting, reduce position by 50% after reaching target 1, and move the stop loss down to the entry price. If the price rebounds and breaks above the entry point, exit automatically. To go long, wait for the 1H RSI to fall back into the neutral zone and for a bearish reversal candle to appear.

The order book lacks buy depth, and selling pressure is accumulating. The 4H Bollinger Bands are widening significantly, with the price far from the middle band, indicating a short-term need to revert toward the middle band around 0.0955. Position volume remains stable but the funding rate is high, showing crowded bullish leverage. A quick funding rate squeeze could trigger chain stops. A true strong breakout requires the price to stabilize above 0.12734 and buy depth to turn positive.

Check real-time market 👇 $ON
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