SOL's weekly support has been breached, next stop is zero!
The most critical support level for SOL on the weekly chart has been broken.
Don't think that a bounce is coming; the real scary drop happens when market confidence starts to crumble after a support break.
Why do I keep stressing not to blindly catch falling knives?
Because once a trend is set, prices can drop harder than you ever imagined.
The inability to hold the weekly support indicates that the buy orders accumulated over the past few months have nearly been exhausted. Now, every bounce will have a ton of trapped longs waiting to escape.
Simply put, the 80 level that used to be support has now turned into resistance.
Going forward, my strategy is clear:
As long as the weekly candle doesn’t close above the key resistance level, I will continue to think about shorting on bounces. Don’t get fooled by a 5% or 8% rise into thinking a bull market is back; in a bearish trend, most bounces are just to provide you with better entry points for shorts.
In this environment, the worst thing you can do is to go heavy on catching the bottom.
I’d rather miss out than make a mistake.
Until the trend changes, every bounce is an opportunity to look for shorting chances; don’t fantasize about miracles happening.
Remember this:
A support break isn’t scary; what’s scary is looking for reasons to go long after it breaks. The market will never stop dropping just because you’re losing money.
#美财长敦促参院通过CLARITY法案 $LAB $SOL $HYPE
The most critical support level for SOL on the weekly chart has been broken.
Don't think that a bounce is coming; the real scary drop happens when market confidence starts to crumble after a support break.
Why do I keep stressing not to blindly catch falling knives?
Because once a trend is set, prices can drop harder than you ever imagined.
The inability to hold the weekly support indicates that the buy orders accumulated over the past few months have nearly been exhausted. Now, every bounce will have a ton of trapped longs waiting to escape.
Simply put, the 80 level that used to be support has now turned into resistance.
Going forward, my strategy is clear:
As long as the weekly candle doesn’t close above the key resistance level, I will continue to think about shorting on bounces. Don’t get fooled by a 5% or 8% rise into thinking a bull market is back; in a bearish trend, most bounces are just to provide you with better entry points for shorts.
In this environment, the worst thing you can do is to go heavy on catching the bottom.
I’d rather miss out than make a mistake.
Until the trend changes, every bounce is an opportunity to look for shorting chances; don’t fantasize about miracles happening.
Remember this:
A support break isn’t scary; what’s scary is looking for reasons to go long after it breaks. The market will never stop dropping just because you’re losing money.
#美财长敦促参院通过CLARITY法案 $LAB $SOL $HYPE