- Solana has been accumulating liquidity above and below—suggesting a major move is coming
- A fake structure shift might have tricked retail traders into the wrong position
- Watch out for potential manipulation before a big trend shift—smart money moves first!
Solana has been playing mind games with traders, leaving liquidity both above and below after a significant retracement.
If you zoom into the M5 timeframe, you’ll see something interesting: a classic trap designed to lure in retail traders.
Liquidity Games: A Retail Trap in Action
On H1, the move isn’t obvious, but M5 reveals the full story.
Solana first dipped slightly, taking out some liquidity but not all of it.
This created a false sense of support, leading many traders to enter long positions. But here’s where things get interesting: Solana then spikes upward, wiping out liquidity above.
This move triggers a false change of structure on M5/M15, making people think an uptrend is confirmed. As the price retraces, buyers enter aggressively—only for the real manipulation to begin.
Power of 3: Accumulation, Manipulation, Distribution
Solana starts accumulating liquidity at lower timeframes, builds another small push higher, and then executes a major manipulation phase—a sharp drop that taps into our key H4 demand zone before rocketing upwards.
This pattern, known as Power of 3, is a classic play:
- Accumulation: Price builds liquidity on both sides.
- Manipulation: A fake breakout to trap traders.
- Distribution: The real move happens, catching traders off guard.
Key Levels to Watch on H1
Looking at H1, I’ve identified three key zones where price could react.
But one confirmation I need before taking a trade is fresh liquidity forming near these zones—alongside another false change of structure to shake out weak hands.
Final Thoughts: Expect the Unexpected
No one can predict Solana’s price movements with 100% certainty. Markets are inherently unpredictable, and what looks like a perfect setup can still fail. Always wait for confirmations and avoid chasing moves without a solid plan.
If you’re looking for a reliable trading platform, check out Weex. It offers advanced tools to help navigate tricky market conditions like these.
Stay patient, stay sharp, and remember—liquidity hunts are designed to trick you. Don’t be the easy prey.
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. Read more
