$LRC Just Faced a Long Liquidation of $1,511.8 at $0.0992 — What's Next?
The sudden long liquidation at $0.0992 is not just a shakeout — it’s a signal. This price action might have flushed out over-leveraged longs, but for strategic traders, it could be setting the stage for a powerful reversal. Here's a breakdown of the possible zones and levels that matter now:
Buy Zone:
$0.0940 to $0.0985
This is the accumulation range where smart money might be loading. The liquidation wick has pierced the lower support, potentially indicating a bear trap. Look for confirmation of strength within this zone.
Primary Target Levels:
Target 1: $0.1060 – Reclaiming this level could spark the first leg up.
Target 2: $0.1125 – Previous resistance that could act as a breakout trigger.
Target 3: $0.1190 – If momentum follows, this level could be tested quickly on rising volume.
Stop Loss:
A tight stop below $0.0915
This level invalidates the bullish structure. If price breaks below and holds, further downside may unfold.
Technical Perspective:
The liquidation event shows exhaustion among overconfident long positions. Volume spikes and wicks into lower supports are classic signs of capitulation. With RSI near oversold on the 4H and daily charts, $LRC might be poised for a reversal. Look for bullish divergence and reclaim of $0.1005 as early confirmation.
Final Word:
This isn’t just another drop. The market just punished late longs — and that often paves the way for early bulls. Stay sharp. This is where conviction meets opportunity.