SOL Technical Analysis: Oversold zone consolidation, are long positions building momentum or is it a bull trap?

Question

[Coin World] The 4-hour trend of SOL is quite interesting. After the pullback at 8 PM on November 28th, the price started to pump in the early morning of the 30th, briefly breaking through the high point at noon on the 29th. However, the latest candle closed as a small Bearish line, failing to hold the high of 143.99, and is now fluctuating around 135.

The trading volume has significantly shrunk, with both price and volume weakening, indicating a typical wait-and-see market. Although the MACD histogram is still below the zero axis, the negative value is gradually narrowing—bulls may be accumulating strength. The KDJ has dropped to 3, firmly in the oversold zone, with no golden cross or death cross signals appearing, but this value is already very extreme.

From a technical perspective, let's look at a few key levels:

The support below is at 133, if it breaks, then look for 129.6.
The upper resistance at 143 is a hurdle, and after breaking through, 145 might be reached.
If going long, consider entering around 136, and set a stop loss below 135.
If you want to short, 144.71 is the stop loss line.

The current position is a bit awkward, both bulls and bears are observing. It is recommended to wait for a clear signal before taking action.

ShitcoinConnoisseur · Accepted Answer

There's really nothing interesting at the 135 level; the volume has dried up, so it's basically a no-go. Better to wait and see if 133 breaks or not.

Web3ExplorerLin · Answer

hypothesis: this consolidation pattern between 133-143 kinda mirrors the ancient silk road—merchants pausing at crossroads, waiting for clearer trade winds before committing capital. volume drying up? that's the oracle network telling us something.

RamenDeFiSurvivor · Answer

The position at 135 is really awkward, I can&#39;t get above 143 and I&#39;m afraid to fall below 133, so I&#39;ll just watch quietly.

MEV_Whisperer · Answer

This position at 135 does seem a bit weak, with such poor Trading Volume, can we really buy the dip?

GasFeePhobia · Answer

This position looks a bit precarious to me, feeling like it could easily be breached.

OPsychology · Answer

135 has fallen back again, this wave is really hard to understand.

AirdropATM · Answer

This position looks like it&#39;s testing support, but with such a sluggish trading volume, I will still hold my coins and wait.

DegenMcsleepless · Answer

The pressure at this position 135 is really overwhelming, it feels like being stuck in a quagmire.