- Solana’s price dropped after reacting to a supply zone, taking liquidity above $220
- Current levels lack clear entry points, with liquidity zones still below
- Patience is crucial: waiting for liquidity grabs could present better buying opportunities
In our last analysis of Solana (SOL), we discussed how the price had left liquidity above, near a key supply zone.
And what happened next? Exactly what we anticipated!
The price surged to grab that liquidity, reacted at the supply level, and then dropped from $222 to $193. This demonstrates, yet again, how important it is to recognize liquidity zones when analyzing the market.
What’s Next for Solana?
Right now, the situation is tricky. There aren’t any clear reference points for action. What’s evident is that there’s plenty of liquidity sitting below the current price.
My advice? Wait. Let the market take its time, and allow that liquidity to be absorbed before considering any moves.
Patience is key here. Jumping in too soon could make you part of the liquidity the market is after. This is why it’s crucial to understand liquidity dynamics—so you don’t become a victim of market manipulation.
The Bigger Picture
Of course, nothing is ever certain in the world of crypto. Solana’s price could take an entirely unpredictable turn, as the market often does.
The scenarios I’ve outlined are based on high-probability events, but they’re not guarantees. The market has a way of humbling even the most confident traders.
Final Thoughts
This is one of those moments when stepping back and watching the market play out can save you from costly mistakes. Keep your eyes on those liquidity zones, stay informed, and always trade with caution. Remember, being part of the market doesn’t mean you have to be part of its liquidity traps.
Let’s see where Solana goes from here. For now, patience is your best strategy.
Disclaimer: The information provided in this article is for informational and educational purposes only and does not constitute financial, investment, or trading advice. Any actions you take based on the information provided are solely at your own risk. We are not responsible for any financial losses, damages, or consequences resulting from your use of this content. Always conduct your own research and consult a qualified financial advisor before making any investment decisions.
