Trading expert highlights ‘last short’ opportunity before the market changes
A trading expert and known crypto analyst highlighted the “last SHORT” opportunity he will publish in years. In this recent Analysis, Alan Santana shared what he called a Solana (SOL) premium trade, setting bearish price targets.
“This is the last public short of this period/cycle, once this and the other trades fully develop we will be living in a different world, truly. Things are about to change massively. This is the last SHORT that you will see me publishing in years, literally, so have fun.”
– Alan Santana
According to the analyst, Solana’s price chart remains bearish, making a new lower high in the two-day time frame. Santana forecasts a 378% potential for a 6x leveraged short position with good risk-reward if things play out as expected.
Picks for you
By the Analysis posting time, SOL was trading at $172.52, which the trading expert believed was an inverse correction. The upward movement consolidated the third tap in a downtrend line since March’s peak at $210.25, followed by July’s local top of $193.90.
Solana price targets in Alan Santana’s ‘last short’ premium trade
Following his strategy of selling or shorting when the price goes up in a bearish chart, Santana disclosed his targets. However, the trading expert also disclosed the $185 and $170 levels as the ideal entry points for this premium trade.
In particular, Alan Santana’s price targets for this SOL “last short” start at $165 and go down to $64. Other key exit levels are $155, $148, $133, $113, $96, $82, and $73, resulting in a maximum potential of 378%.
The analyst recommended setting the stop losses according to each trader’s risk tolerance. He also disclosed allocating 4% of his capital into this “premium trade,” shorting Solana.
Despite shorting Solana, Alan Santana says he is buying or opening longs in promising altcoins with bullish charts. Overall, he believes that there are hundreds of these long opportunities, having shared some in the past few days.
Santana will also quickly adjust his trading strategy if SOL reverts to a bullish trend, which may happen soon.
“The market is going down, the chart is saying down so we either stay away, sell or SHORT. When prices are low, we buy at the support and hold or go LONG or both.”
– Alan Santana
SOL open interest and funding rates
Looking further, Finbold retrieved Solana futures data from CoinGlass on October 26. Specifically, we looked at SOL futures open interest (OI) and its OI-weighted funding rates.
While open interest has reached the same record levels of March, at SOL/USD peak before the downtrend, the weighted funding rates show a fairly balanced market, slightly favoring short-sellers in a dominating long-position landscape.
Therefore, shorting SOL at this point presents itself as a contrarian trade, which will also accrue a positive net APR.
Interestingly, Solana’s market demand in the past few months has been predominantly of memecoin traders, with winners and losers. Finbold has reported multiple stories of anonymous traders who made millions out of hundreds due to either smart or insider trading activities.
Earlier today, we covered two signals that a memecoin is a rug pull created to get people’s money. These rug pulls are becoming more elaborate over time. Often draining liquidity out of Solana investors to the hands of a few grifters, increasing the selling pressure on SOL. Furthermore, potential insider traders could have also benefitted from memecoin listings on Binance.
Comments
Post a Comment