Trader Eugene: Currently, I am most focused on SOL in the mainstream coins
On December 19, trader Eugene Ng Ah Sio posted an explanation of why he is currently most focused on SOL among mainstream coins:
In all charts (SOLBTC, SOLETH and SOLUSD trading pairs), we are at or near the 'value' level of high time frame (HTF);
The undervaluation below $200 provides a good entry position for bulls today;
The funding rate has been falling and has now entered negative territory. This indicates that some form of perpetual contract hedging is underway because open interest (OI) contracts have hardly changed. This is further interpreted as multiple market participants using SOL as the short part of their hedge portfolio due to its weakening momentum from $260.
As @docXBT said, these are important levels that need to be respected to some extent, especially on HTF. As a bull, I am willing to try entering at these levels. However, if these levels fail, we will quickly enter a danger zone.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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