- Liquidity Games: Solana’s price action may target liquidity below before making a decisive move
- Smart Money Strategy: Fake resistance zones could be traps to manipulate retail traders
- Next Week’s Outlook: Focus on marked supply and demand zones for a potential breakout
In our last article on Solana price prediction, we saw Solana sitting on a demand zone, but with a lower demand zone lurking underneath. This is what I said in that analysis.
“My advice? Wait. Let the market take its time, and allow that liquidity to be absorbed before considering any moves.“
Predictably, Solana pierced through the initial zone to grab liquidity below. This movement aligns with the classic behavior of smart money manipulation.
Solana’s Current Setup: What’s Happening?
Now, Solana appears to be playing a new game. It has left liquidity above and is seemingly reacting to a “fake” resistance level.
In my view, this is a classic setup to draw in retail traders who might jump into positions too early. By creating a false sense of direction, smart money traders accumulate liquidity before triggering the real move.
Solana Price Prediction: My Approach
Here’s what I would do based on the current setup:
- Before buying: I’d wait for liquidity below to be swept, ensuring smart money has cleared the board.
- Before selling: I’d wait for the price to grab liquidity above, indicating the end of accumulation.
Patience is key here. If you’ve been following my articles, you’ll know that this approach has been consistent.
Expect the Unexpected
Let’s not forget one of the golden rules of trading: no analysis is foolproof. The price could defy expectations and move unpredictably based on broader market conditions or unforeseen events.
As always, these scenarios are possibilities, not guarantees. Trading is about managing probabilities, and the Solana market is no different.
Stay tuned for updates, and let’s see how this scenario evolves.
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