We are in a bullish trend and just need to cool down and think how far ahead we are.
We have seen the liquidity crisis in the U.S. banks due to continuous interest rate hikes. The crisis has spread to the crypto-market. In addition to being the bank depository, Circle and Tether also have a large proportion of US debt in asset allocation. FUD increases rapidly. But from Sunday to Monday, the U.S. government said it would provide BTFP to eligible banks to protect depositors from losses. This measure makes people think that the US government will become restrained in the subsequent QT, so as not to cause a domino effect in the banking industry.
Under such circumstances, the marginal effect of economic data is reduced, and the higher-than-expected NFP did not bring about a decline last Friday. Similarly, if CPI can be maintained at around 6.4%, then the direct impact on the market is not great. Subsequent interest rate hikes will remain within a logical channel. Its upper rail is the stability of the financial environment, and its lower rail means that inflation can decline steadily.
We gave a relatively neutral evaluation last week. Although SOL has also been affected by events, you can find that the price did not rise strongly in the process of rising. SOL just returned above the given support level. The trading volume on weekends is greater than that of previous weekends, and the gap between bulls and bears is not obvious.
Conclusion: Mostly fluctuation. The characteristics of SOL allow it to passively defend the resistance level most of the time. After moving away from the resistance level, the strength of the bulls will quickly decay. We think this time will be no exception. We lowered last week's resistance level to 26 and lowered the support level to 16.
If you have any ideas, welcome to communicate with us:)
Disclaimer: Nothing in the script constitutes investment advice. The script objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.
Any decisions made based on the information contained in the script are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.
We have seen the liquidity crisis in the U.S. banks due to continuous interest rate hikes. The crisis has spread to the crypto-market. In addition to being the bank depository, Circle and Tether also have a large proportion of US debt in asset allocation. FUD increases rapidly. But from Sunday to Monday, the U.S. government said it would provide BTFP to eligible banks to protect depositors from losses. This measure makes people think that the US government will become restrained in the subsequent QT, so as not to cause a domino effect in the banking industry.
Under such circumstances, the marginal effect of economic data is reduced, and the higher-than-expected NFP did not bring about a decline last Friday. Similarly, if CPI can be maintained at around 6.4%, then the direct impact on the market is not great. Subsequent interest rate hikes will remain within a logical channel. Its upper rail is the stability of the financial environment, and its lower rail means that inflation can decline steadily.
We gave a relatively neutral evaluation last week. Although SOL has also been affected by events, you can find that the price did not rise strongly in the process of rising. SOL just returned above the given support level. The trading volume on weekends is greater than that of previous weekends, and the gap between bulls and bears is not obvious.
Conclusion: Mostly fluctuation. The characteristics of SOL allow it to passively defend the resistance level most of the time. After moving away from the resistance level, the strength of the bulls will quickly decay. We think this time will be no exception. We lowered last week's resistance level to 26 and lowered the support level to 16.
If you have any ideas, welcome to communicate with us:)
Disclaimer: Nothing in the script constitutes investment advice. The script objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.
Any decisions made based on the information contained in the script are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.
