SOL on the 4-hour timeframe is forming a potentially bullish setup, but patience is key as price nears a critical reversal zone.
🧠 Market Context:
After a strong move up in late June, SOL faced heavy rejection near $155–$157, which aligns with both a supply zone and a long-term descending trendline (visible across higher timeframes).
Since then, we’re seeing a series of lower highs, signaling ongoing seller control in the short term.
🔄 Short-Term Price Action:
The recent candles form a rounded consolidation, with volatility compressing.
Price is expected to retest the $143–$144 area, highlighted as the "Reversal Area" on the chart.
This area previously acted as a pivot and may serve again as a demand zone.
🛠️ Trade Plan:
Wait for a reaction at $143–$144: either a bullish engulfing, hammer, or strong volume candle to confirm buyer presence.
If reversal occurs, potential move is toward $150–$152, where price meets the long-term descending trendline again.
This setup aligns with a classic "higher low" formation before continuation.
❌ Invalidation:
Clean break below $142 with strong volume would invalidate the short-term bullish thesis and may open up downside to $138.
✅ Summary:
Bias: Bullish on confirmation
Reversal Zone: $143–$144
Target: $150–$152
Invalidation: Below $142
This setup provides a low-risk, high-reward opportunity — but only with a confirmed reversal. Let the market show its hand.
🧠 Market Context:
After a strong move up in late June, SOL faced heavy rejection near $155–$157, which aligns with both a supply zone and a long-term descending trendline (visible across higher timeframes).
Since then, we’re seeing a series of lower highs, signaling ongoing seller control in the short term.
🔄 Short-Term Price Action:
The recent candles form a rounded consolidation, with volatility compressing.
Price is expected to retest the $143–$144 area, highlighted as the "Reversal Area" on the chart.
This area previously acted as a pivot and may serve again as a demand zone.
🛠️ Trade Plan:
Wait for a reaction at $143–$144: either a bullish engulfing, hammer, or strong volume candle to confirm buyer presence.
If reversal occurs, potential move is toward $150–$152, where price meets the long-term descending trendline again.
This setup aligns with a classic "higher low" formation before continuation.
❌ Invalidation:
Clean break below $142 with strong volume would invalidate the short-term bullish thesis and may open up downside to $138.
✅ Summary:
Bias: Bullish on confirmation
Reversal Zone: $143–$144
Target: $150–$152
Invalidation: Below $142
This setup provides a low-risk, high-reward opportunity — but only with a confirmed reversal. Let the market show its hand.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.