Massive Long Liquidation Hits $CATI – Opportunity or Trap?
$5,078 worth of longs got flushed at $0.1314. A brutal shakeout like this usually signals one of two things: smart money hunting liquidity before a reversal or a deeper breakdown coming.
Let’s break it down technically:
Buy Zone:
Strong demand is expected to kick in between $0.1200 – $0.1260, where historical support meets oversold RSI levels on the 4H chart.
Stop Loss:
To manage risk, place a stop loss just below the previous wick low at $0.1165. A clean break below this suggests further downside.
Target Levels:
Target 1: $0.1380 – Previous support now likely to act as resistance
Target 2: $0.1445 – Local top and potential profit-booking zone
Target 3: $0.1510 – If momentum builds, this is the breakout level to watch
Technical Outlook:
The liquidation at $0.1314 suggests that bulls were over-leveraged and forced out. Volume spikes around this price point could mean bottom-feeding whales are stepping in. If price consolidates above $0.1260, we could see a sharp recovery rally.
This isn’t just a dip. It’s a test of conviction. Watch the $0.1200-$0.1260 range closely—smart entries here could ride the next explosive leg.
