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In the most recent trading day, Solana (SOL) showed a significant falling trend, with a large bearish candlestick erasing the gains from the previous day. Although the trading volume has decreased compared to the previous day, it remains at the average level of the recent upward phase. This market performance may indicate the formation of a short-term top, and investors should be cautious regarding the upcoming market trends.
Although a rebound may occur after a rapid fall in prices, and even the possibility of a brief breakthrough to new highs cannot be ruled out, if market sentiment cannot remain high, a more severe correction may follow. Therefore, investors participating in the market need to adopt flexible strategies to avoid falling into unfavorable situations due to excessive optimism.
From a technical perspective, several key price ranges that SOL is currently facing are worth noting:
Resistance levels above: 210 (short-term psychological barrier), 220, 240, 256 (previous high)
Support levels below: 175 (short-term key support), 168, 156, 145 (levels that may be touched during a deep pullback)
In the current market environment, risk control and profit locking should be the primary considerations for investors. It is recommended to patiently wait for prices to effectively break through key resistance levels or fall back near strong support levels before considering trend-based operations. This strategy helps to seize better entry opportunities in a volatile market.
Overall, the SOL market is currently in a sensitive period, and investors need to remain vigilant, closely monitor price trends and changes in market sentiment, so they can adjust their investment strategies in a timely manner. It is crucial to comprehensively assess risks and potential returns before making any investment decisions.