🔥【Is a rebound from overselling imminent? LAYER breaks key cost line!】Under the dominance of bears, 0.68 becomes the line of life and death, and smart funds are quietly positioning for a reversal opportunity!
Technical Analysis
1. Price Status:
• Bollinger Bands: The current price of 0.6953 is near the lower band (0.6798) (Bollinger position 36.77%), approaching the oversold area, indicating a potential short-term rebound demand.
• MA200: The price is 6.7% below MA200 (0.7452), in a state of deep deviation, reflecting that the long-term downward trend remains unchanged.
• Holding Cost: The price has fallen 6.6% below the holding cost (0.7446), most holders are at a loss, and selling pressure may weaken.
2. Market Strength:
• Trading Volume: 24-hour volume shrank (volume ratio 0.36), price fell 1.04% but did not increase in volume, indicating a decay in bearish momentum.
• Open Interest: Contract open interest plummeted 36% in 24 hours, with significant fund withdrawal; the long-short ratio slightly rose (1.16→1.17), suggesting short covering.
• Liquidity: The order book shows concentrated selling pressure near the current price (total sell orders worth 54.2k > buy orders 40.9k), but mid to long-term buy orders are evidently advantageous (total buy 159.2k > total sell 119.0k), indicating strong support below.
3. Key Levels:
• Support: Bollinger lower band 0.6798 (short-term defensive line), breaking it will trigger panic selling.
• Resistance: MA200 at 0.7452 and Bollinger middle band 0.7008 (first target for rebound).
• Liquidity Gap: A large amount of sell orders is piled up above at 1.3333-3.0 (total value 844,000 USDT), repressing the rebound space.
Market Cycle
Currently in the mid-term of a bear market, the price is long-term deviated from the cost line, oversold (RSI 26.5) may trigger a technical rebound, but a trend reversal requires volume support.
Trading Strategy
Aggressive Long Position (Risk-Reward Ratio 2:1)
• Entry: 0.680 (Bollinger lower band support)
• Stop Loss: 0.670 (confirmation of downward break)
• Target: 0.700 (Bollinger middle band + psychological round number)
• Risk-Reward Ratio: 2.0
Risk Warning
• If it falls below 0.67 or contract holdings continue to decrease, the strategy will be invalidated;
• Position ≤2% of total funds, avoid low liquidity periods (e.g., early Asian session).
> Summary: Oversold rebound opportunities are emerging, but beware of liquidity traps. Play lightly in the 0.68-0.70 range and enforce strict stop losses!
Like and follow for real-time updates, welcome to leave comments for strategy details!
