Solana Longs Unfazed By $60 Million Liquidations: What Next?
Solana (Sol) Traders appear to believe that the recent decline in altcoin prices is just a short-lived decline rather than a long-term period of volatility. This can be seen in the situation with Solana’s long positions since the market liquidated, with liquidations amounting to hundreds of thousands of dollars.
But do the indicators agree? Here’s a comprehensive analysis of the potential SOL price move.
Solana traders confident in altcoin recovery
According to data from Coinglass, Solana’s long/short ratio is 1.14. As the name suggests, the long-short ratio is a barometer of traders’ expectations for the market. When the ratio is below, it means there is more shorts More than the longs in the market.
However, a reading above 1 indicates that there are more bulls than bears. For context, a long is a trader who holds a position in anticipation of an increase in price. Shorts, on the other hand, are traders expect reduce.
Therefore, the current ratio indicates Solana Bulls Take Dominance in the market. Therefore, the average sentiment is bullish and, if verified, could be profitable for these traders. Interestingly, this happened during the past few days when the market had faced the highest number of liquidations.
In the past 24 hours, SOL Liquidation The total is about $60 million. Among them, long positions exceed $57 million, and the remainder are short positions. Liquidations occur when a trader’s margin is insufficient, prompting exchanges to close their positions to prevent further losses.
This wave of liquidation was caused by Solana’s Price Dips Below 215, triggering a series of margin calls and forced closures.
SOL Price Forecast: It’s not time for a rebound yet
On the daily chart, this SOL price drops Below the 20 and 50 exponential moving averages (EMA), these technical indicators measure Trend direction.
When price is above EMA, trend Bullish. On the other hand, if the price is below the EMA, the trend is bearish, which is the case with SOL price.
Another trend worth noting in the chart below is SOL price is lower than demand area $210. If the altcoin fails to recover above this area, the correction may intensify, and The value of the coin may drop to $189.36.
However, if Solana sees increased purchases Under pressure, the trend may reverse and a rebound to $264.66 is possible.
Disclaimer
conform to trust project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
