Based on the $FARM 15-minute chart, here’s a quick analysis of what might happen next:
Observations:
1. Price Surge & Dump: The price experienced a massive spike to $50.50, followed by a sharp decline.
2. Support & Resistance:
Support: The price previously bounced around $28.82.
Resistance: The spike peak at $50.50 acted as a major resistance.
3. Volume Analysis: High volume indicates heavy trading activity, suggesting possible manipulation or a pump-and-dump scenario.
4. Trend: The trend is currently bearish, as the price is falling from the peak.
5. Possible RSI Overbought Condition: Given the rapid surge, RSI likely entered overbought levels, leading to this correction.
Potential Next Moves:
Scenario 1 (Bearish Continuation): If selling pressure continues, the price might test $32-$30 as the next support.
Scenario 2 (Reversal Attempt): If buyers step in, a short-term bounce towards $36-$38 is possible.
Scenario 3 (Consolidation): The price may range between $30-$35 before another move.
Trading Plan:
For Longs: Wait for confirmation of support around $30 before entering.
For Shorts: A failed rebound around $36-$38 could be a good short entry.