Is it a critical moment for breaking or stopping the decline near 126 for SOL?
Currently, SOL is trading around 126U, which is a low area for the past month and a testing point for previous technical support.
After the recent market downturn, SOL has dropped from above 150, with a short-term decline nearing 20%+, indicating a clear contraction in bullish sentiment, while bearish momentum shows signs of topping out.
Key technical point analysis: Support area: 122-125U, this is the previous platform consolidation area and also overlaps with the daily MA60. If it cannot hold above 125, it may quickly test the 118-120U area below, with panic selling potentially accelerating.
Short-term resistance level: 132-135U. If the market rebounds and stays above 132, it indicates that the short-term oversold correction is complete, and it is expected to return to an upward oscillation channel, with increased trading volume being the key signal for a reversal.
Suggestion: Conservative: Patiently wait to see if the 122-125 range stabilizes; consider going long only after breaking above 132.
Aggressive: You may take a small position to test the waters, with a stop loss set below 121; short-term rebound targets are set towards 132-135U;
Currently, it is not recommended to blindly chase shorts, as the price is close to the support edge, with limited downward space but increased volatility.
Trend reminder: Currently, SOL's overall pattern is in a downward confirmation phase of mid-term adjustment, with bulls waiting for signals of "increased volume at low levels + pattern stopping the decline."
If 126 holds successfully, it is very likely to become the starting point for the next rebound.