Phemex Analysis $60: How to Trade SOL Amidst the FTX Unlock
The FTX’s decision to unlock 11.2 million SOL tokens (worth around $2 billion) at March 1st has sent shockwaves through the market. Fear of a potential sell-off has triggered panic among investors, leading to a sharp decline in SOL’s price from $200 to the $160 area.
With uncertainty in the air, traders are now asking: Will SOL continue its downward spiral, consolidate, or stage a strong comeback? In this analysis, we’ll explore three possible scenarios and how to trade them like a pro.
Possible Scenarios
1. Continued Downward Trend – More Selling Pressure Ahead?
Currently, SOL has dropped into the $165-$155 support zone, but if fear continues to dominate and selling pressure increases, further downside is possible. Key support levels to watch:
• $135-$126 – A critical demand zone where buyers may step in.
• $110 – A strong historical support level that could serve as a bottom.
For long-term investors, this could be an opportunity to accumulate SOL at a discounted price. However, for those who entered near $200, this scenario is less favorable.
Pro Tips:
• Use scaled orders to gradually enter the market instead of going all-in at once.
• Set limit buy orders around key support zones to secure an optimal entry.
• Monitor volume and Relative Strength Index (RSI)—if SOL becomes oversold on high volume, it could signal a potential reversal.
2. Bouncing Between $155 & $210 – A Range-Bound Market
While some traders fear a deeper decline, institutional buyers and long-term holders may step in to absorb the selling pressure. This could lead to a sideways trading range between strong support at $155 and resistance at $210.
Pro Tips:
• Use grid trading bots to capitalize on price swings:
• Start a long grid bot near the $155 support level to profit from rebounds.
• Start a short grid bot near the $210 resistance level to take advantage of pullbacks.
• If SOL repeatedly tests $210 but fails to break through, consider taking partial profits.
• Stay cautious—if the $155 support fails, be ready to adjust strategy for a deeper correction.
3. Breakout Rally – A Surprise Upside Move?
While less likely, a major bullish catalyst—such as the approval of a Solana ETF—could spark a breakout. If SOL gains regulatory or institutional backing, it may defy expectations and surge past resistance levels.
Pro Tips:
• Watch for a breakout above $210 with strong volume—this could signal a move toward $250+.
• Consider momentum trading strategies, setting stop-loss orders below $200 to manage risk.
• Stay updated on ETF-related news and broader crypto sentiment.
Final Thoughts
All eyes are on March 1st, when FTX’s SOL unlock event could bring heightened volatility. Whether SOL drops further, consolidates, or stages a breakout, traders need to stay alert and adjust their strategies accordingly.
• For bulls: Look for accumulation zones and wait for a confirmed reversal.
• For range traders: Take advantage of price swings between support and resistance.
• For breakout traders: Keep an eye on volume and fundamental catalysts.
No matter which scenario plays out, staying disciplined, managing risk, and reacting to market conditions is key to trading SOL like a pro.
🚀 How are you planning to trade SOL during this event? Drop your thoughts below! 🚀
Pro Tips:
Trade Smarter, Not Harder with Phemex. Benefit from cutting-edge features like multiple watchlists, basket orders, and real-time strategy adjustments. Our unique scaled order system and iceberg order functionality give you a competitive edge.
Disclaimer: This is NOT financial or investment advice. Please conduct your own research (DYOR). Phemex is not responsible, directly or indirectly, for any damage or loss incurred or claimed to be caused by or in association with the use of or reliance on any content, goods, or services mentioned in this article.
With uncertainty in the air, traders are now asking: Will SOL continue its downward spiral, consolidate, or stage a strong comeback? In this analysis, we’ll explore three possible scenarios and how to trade them like a pro.
Possible Scenarios
1. Continued Downward Trend – More Selling Pressure Ahead?
Currently, SOL has dropped into the $165-$155 support zone, but if fear continues to dominate and selling pressure increases, further downside is possible. Key support levels to watch:
• $135-$126 – A critical demand zone where buyers may step in.
• $110 – A strong historical support level that could serve as a bottom.
For long-term investors, this could be an opportunity to accumulate SOL at a discounted price. However, for those who entered near $200, this scenario is less favorable.
Pro Tips:
• Use scaled orders to gradually enter the market instead of going all-in at once.
• Set limit buy orders around key support zones to secure an optimal entry.
• Monitor volume and Relative Strength Index (RSI)—if SOL becomes oversold on high volume, it could signal a potential reversal.
2. Bouncing Between $155 & $210 – A Range-Bound Market
While some traders fear a deeper decline, institutional buyers and long-term holders may step in to absorb the selling pressure. This could lead to a sideways trading range between strong support at $155 and resistance at $210.
Pro Tips:
• Use grid trading bots to capitalize on price swings:
• Start a long grid bot near the $155 support level to profit from rebounds.
• Start a short grid bot near the $210 resistance level to take advantage of pullbacks.
• If SOL repeatedly tests $210 but fails to break through, consider taking partial profits.
• Stay cautious—if the $155 support fails, be ready to adjust strategy for a deeper correction.
3. Breakout Rally – A Surprise Upside Move?
While less likely, a major bullish catalyst—such as the approval of a Solana ETF—could spark a breakout. If SOL gains regulatory or institutional backing, it may defy expectations and surge past resistance levels.
Pro Tips:
• Watch for a breakout above $210 with strong volume—this could signal a move toward $250+.
• Consider momentum trading strategies, setting stop-loss orders below $200 to manage risk.
• Stay updated on ETF-related news and broader crypto sentiment.
Final Thoughts
All eyes are on March 1st, when FTX’s SOL unlock event could bring heightened volatility. Whether SOL drops further, consolidates, or stages a breakout, traders need to stay alert and adjust their strategies accordingly.
• For bulls: Look for accumulation zones and wait for a confirmed reversal.
• For range traders: Take advantage of price swings between support and resistance.
• For breakout traders: Keep an eye on volume and fundamental catalysts.
No matter which scenario plays out, staying disciplined, managing risk, and reacting to market conditions is key to trading SOL like a pro.
🚀 How are you planning to trade SOL during this event? Drop your thoughts below! 🚀
Pro Tips:
Trade Smarter, Not Harder with Phemex. Benefit from cutting-edge features like multiple watchlists, basket orders, and real-time strategy adjustments. Our unique scaled order system and iceberg order functionality give you a competitive edge.
Disclaimer: This is NOT financial or investment advice. Please conduct your own research (DYOR). Phemex is not responsible, directly or indirectly, for any damage or loss incurred or claimed to be caused by or in association with the use of or reliance on any content, goods, or services mentioned in this article.
The Most Efficient Crypto Trading & Investment Platform: phemex.com/
Phemex Next-Gen Web3 Social Network: pulse.social/
Phemex Next-Gen Web3 Social Network: pulse.social/
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.
The Most Efficient Crypto Trading & Investment Platform: phemex.com/
Phemex Next-Gen Web3 Social Network: pulse.social/
Phemex Next-Gen Web3 Social Network: pulse.social/
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.