Solana, is it time for a breakup?
Updated
SOL/USDT Binance Weekly Chart
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Orange = EMA 21
Green = SMA 50
Red Lines = Predicted resistance and or support areas.
Purple Lines = My limit buy orders.
Greetings fellow crypto enthusiasts and fellow traders,
NFTS have been raging hot with such euphoric buying and while there will likely be a future for NFTS, I believe the immediate uptrend on Solana is over. While there is a current consolidation in the price action, it does not mean SOL is out of the woods yet.
With the Stock market looking to pullback next year and the strong corelation between crypto and the SPY, there is a greater chance of a pullback to retest lower levels, perhaps even as low as $80.00.
However, I don't think this move will happen unless there is a pullback in BTC and the SPY, along with the price action piercing the EMA 21 again.
Currently the price action remains undecided, does it go towards testing $200? Or does it retest the Weekly EMA 21? Whichever the case, If I were trading this, I would probably DCA and stay away from position sizes that are too large.
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Price Action Analysis:
-The uptrend from June to Nov, appeared to tighten and trade in a rising wedge.
-The Drop so far has resembled a potential Broadening Ascending Wedge.
=================================
Current Trade ideas:
Trade idea#1 - Buy as close to the Weekly EMA 21 as possibile, Take partial profits at $180 or higher.
[Currently have a position that was filled at $158.00]
Trade idea#2 - DCA, no one knows where the bottom will be after the euphoric phase has run out. However, this NFT network and NFTS in general are too large to ignore, but do consider position size and risk when entering.
Good Luck out there,
May your portfolio reach Luna and beyond
=================================
Orange = EMA 21
Green = SMA 50
Red Lines = Predicted resistance and or support areas.
Purple Lines = My limit buy orders.
Greetings fellow crypto enthusiasts and fellow traders,
NFTS have been raging hot with such euphoric buying and while there will likely be a future for NFTS, I believe the immediate uptrend on Solana is over. While there is a current consolidation in the price action, it does not mean SOL is out of the woods yet.
With the Stock market looking to pullback next year and the strong corelation between crypto and the SPY, there is a greater chance of a pullback to retest lower levels, perhaps even as low as $80.00.
However, I don't think this move will happen unless there is a pullback in BTC and the SPY, along with the price action piercing the EMA 21 again.
Currently the price action remains undecided, does it go towards testing $200? Or does it retest the Weekly EMA 21? Whichever the case, If I were trading this, I would probably DCA and stay away from position sizes that are too large.
=================================
Price Action Analysis:
-The uptrend from June to Nov, appeared to tighten and trade in a rising wedge.
-The Drop so far has resembled a potential Broadening Ascending Wedge.
=================================
Current Trade ideas:
Trade idea#1 - Buy as close to the Weekly EMA 21 as possibile, Take partial profits at $180 or higher.
[Currently have a position that was filled at $158.00]
Trade idea#2 - DCA, no one knows where the bottom will be after the euphoric phase has run out. However, this NFT network and NFTS in general are too large to ignore, but do consider position size and risk when entering.
Good Luck out there,
May your portfolio reach Luna and beyond
Note
-=SOL/USDT Weekly= -
=================================================
Price Action Pattern - Broadening Descending Wedge Pattern, the price continues to drop and consolidate lower. The Weekly 50MA is right below, decent chance that support is found there for at least one bounce.
Plan - Continue to DCA in, buys from $135 to $108. Expected Support to form around 50MA Weekly.
Note
-=SOL/USDT=- 8H
=================================================
Price Action - Trading in this channel, but if you are long, strongly consider a SL, as if the price action breaks below and closes just one candle below this trend, there is a good chance of a retest of $95 or even $85.
Plan - Place SL at appropriate levels. Buyback small amounts on drops. Continue to DCA. Why? SOL is a solid project with many use cases of a larger fleshed out network for NFTS, similar to ETH for alt coins.
Note
s3.tradingview.com/snapshots/d/dJ2qrhhr.png-=SOL/USDT Weekly=-
Price action broke the small channel, the price is bearish and dropping. The overall pattern is the Descending Broadening Wedge. Although it's starting to look at bit more narrow.
Plan - SL 10% of accumulated SOL at $98.00 Continue DCA at cheaper prices.
Future targets - If the markets become more bearish, there is a good chance SOL will retest the lows of the 80s and maybe even $70 or $30.
Good Luck,
and Whatever you decide to do, don't get stuck with a heavy bag
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