SOL recent trend analysis

SOL started to weaken and is currently in a volatile zone. I also talked about SOL in early May. A month is almost over, and the market trend is not optimistic.

The current situation

This wave of bulls rose with shrinking volume, and the price came to the upper pressure level. There are two pressure levels above, one is $210, and the other is $260, the previous high of the previous bull market. The pressure of these two pressure levels is very high. According to the current volume, it is difficult to break through the upper pressure level. This position is more like the main force is shipping, although it may not be all sold, but even if it is partially sold, SOL will enter a long period of shock callback in the later period.

The rise of SOL is mainly due to the hype of inscriptions. After the hype cools down, the price will naturally fall back. There may be a sector rotation next. From the recent trend of the entire market, we can already see some clues.

Whether it is mid-term or long-term, the gains of those who have arranged SOL from the bottom have been considerable, and the impact on those who are long-term will not be great. But for those who chase the rise, the next period of time may be very uncomfortable, watching the currencies of other sectors rise, while the currencies in their hands have no fluctuations, or even may fall back. This situation is most likely to make retail investors impatient, frequently change currencies, and eventually make mistakes.

In the last bull market, many people thought it was easy to make money in the bull market because they thought they were smart, so they tried various swing trading and high-multiple contracts, but the results were not satisfactory. After the bull market ended, some people did not make money, but they accumulated experience and laid the foundation for the next bull market. Some people lost money and did not accumulate experience. They are still confused in this bull market, always thinking that they are smart people, but they don’t know that it is difficult for smart people to make money in the financial market.

Trade in the market you can understand, control risks, summarize and reflect more, and make sure to have a preventive strategy when you find risks. Take SOL as an example. I have already left the market, and the subsequent trend has nothing to do with me. There are many opportunities in the market, just change sectors and continue trading.