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Today, XPL's market is quite interesting. It jumped directly from 0.14 yesterday to 0.15, a daily increase of 7.78%. Looking at the comment section, some are already calling for the return of the bull market, but a careful analysis of the data reveals some clues.
Trading volume is clearly shrinking, which is the first signal. The 10-day moving average has fallen by 24%, and the 20-day moving average has dropped by 13%. In plain terms, no one is really trading anymore. It looks like a lively rise, but in reality, only a few funds are moving.
Looking at the technical indicators, it’s even more amusing. The OBV just had a golden cross signaling a buy, but then the KDJ turned into a death cross, indicating a short position. The MACD is also crossing below the zero line. Such contradictory signals are common in the market and simply indicate uncertainty about the direction.
I’ve observed a phenomenon: many people’s emotions are now very easily influenced by price movements. A small rise excites them, a small fall causes panic. In fact, XPL is currently oscillating within the 0.145 to 0.15 range. The MA50 is still supporting, and the EMA120 is still pointing upward. The long-term trend hasn’t changed, but in the short term, there’s a lack of volume. Without volume, any upward push is false and cannot withstand a sharp drop.
The most critical point is that the 0.15 level has been tested several times. Each time it goes up, it gets pushed back down, making it a typical resistance level.
Buying on the rise now? Basically, it’s just handing over the order book to the main players. Panic selling? That’s giving away chips to smart money for free. The safest approach is to wait. Wait until around 0.145 to consider entering, and wait for a genuine breakout above 0.15 before adding positions. Doing so will greatly increase the success rate.