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SOL

BUY
Generated about 1 month ago (December 24, 2025 at 10:00 AM)

Confidence Score

72.0%
High Confidence

Signal Analysis

Type: 🟢 Bullish
Action: BUY
Asset: SOL

🎯 Take Profit Target

Recommended Take Profit Price
$122
▲ 1.22% from current price

This is the primary price target for executing your trade. Place your take profit order at this level for optimal risk/reward based on current technical analysis.

Price Forecasts

7 Day
$123
▲ 2.04% from current
30 Day
$128
▲ 5.83% from current
90 Day
$136
▲ 12.01% from current

Detailed Reasoning

SOL is showing a high-probability mean-reversion setup after a sharp selloff. RSI(14) at 27.26 is deeply oversold, typically signaling seller exhaustion and increased odds of a bounce. Price ($121.42) is hugging the lower Bollinger Band ($120.60) with tight bandwidth (3.73%), suggesting compressed volatility where rebounds toward the mid-band ($122.90) are common. While trend and EMAs are bearish (price below EMA12/26/50/200), the downside momentum is moderating intraday: after printing lows near $120.55, candles stabilized and closed back above the low with normal-to-slightly elevated volume (1.08x), indicating demand appearing near support. MACD remains bearish (histogram -0.18) but the setup is attractive for a short-term long scalp/mean reversion with defined risk: support sits around $120.55–$120.60 and ATR is low ($0.99), enabling a tight stop. Ideal stop loss: $119.80 (below lower band/support and ~1.6 ATR).

Key Factors

1 RSI(14) deeply oversold (27.26) indicating potential reversal/mean reversion
2 Price at/near lower Bollinger Band with low bandwidth (compression) favoring bounce to mid-band
3 Defined nearby support at $120.55–$120.60 with manageable ATR for favorable risk/reward

Risk Assessment

Moderate risk: broader structure is bearish (below all key EMAs) and MACD is still negative, so any long is counter-trend and could fail if $120.55 breaks; watch for a flush toward ~$118–$119 on increased sell volume.

Market Context

Short-term bearish market structure with price below EMA12/26/50/200, but conditions are stretched/oversold at lower-band support, favoring a tactical bounce rather than a trend reversal.

Technical Data

Current Price $121.42
24h Change -2.70%
Trend Bearish
RSI 27.26 Oversold
Exponential Moving Averages
EMA 12
122.15
BELOW
EMA 26
123.05
BELOW
EMA 50
123.90
BELOW
EMA 200
125.95
BELOW
Bollinger Bands
Upper: 125.19
Middle: 122.90
Lower: 120.60