January 13th SOL Technical Overview

How is the market? It couldn't break through 144.4, and there are quite a few short positions clustered at this level. From the candlestick structure, SOL has already shown signs of a high-level pullback — the price is now oscillating below the MA5 and MA10, the short-term moving averages have turned downward, and the previously supported middle band of the Bollinger Bands (≈140) has also broken. The shift from a strong upward trend directly to repeated high-level fluctuations is quite evident.

How to interpret the volume? There was no significant follow-through volume during the decline, and the rebound momentum is weakening with each wave. What does this indicate? Currently, the market's money is mainly in self-preservation, with bulls and bears tugging at each other, but the force pushing prices up is clearly much stronger than the force holding them down.

How to operate?
- Enter short positions on rebounds within the range of 141.5-142.5
- Set stop-loss above 144.6
- First target at 138, second target around 135

Why do this? After a high-level pullback, the rebound, combined with the double suppression from the Bollinger Bands and moving averages, forms a typical structural bearish position. If the price stabilizes after falling and doesn't continue downward, then it's time to decisively switch to long positions and participate in the rebound trend.