SOL 4-hour chart technical analysis: Bullish signals emerging, these levels are worth watching

【CryptoWorld】SOL has been showing some interesting movements in the past 4 hours. From 20:00 on December 17th to now, the price has clearly surged, and since midnight yesterday, it has continued to rise, successfully breaking through yesterday’s 04:00 previous high. The candlestick chart shows a bullish engulfing pattern, ending with a positive candle and closing above the opening price.

However, there is a detail worth noting—while the price has increased, the trading volume has actually contracted, with volume decreasing hour by hour. This scenario of rising price with shrinking volume indicates that the upward momentum is indeed waning. Although the bulls are still exerting effort, the strength is lacking, so caution is advised.

From an indicator perspective, the MACD histogram has shifted from negative to positive, which is a good signal indicating that the bulls are starting to take control. The KDJ indicator also shows a golden cross, with the current value at 0.51, in the oscillation zone. Overall, the market currently does not show a clear unilateral trend and remains in a state of indecision.

The key technical levels are as follows:

• Buy reference: First level 117.56, second level 118.0
• Sell reference: First level 132.34, second level 131.0
• Long position stop-loss: 116.97
• Short position stop-loss: 133.0
• Recent support: 118.0
• Recent resistance: 131.0

Overall, SOL shows a willingness to rebound at the key support level, but trading volume is not yet sufficient to confirm a breakout. If subsequent volume gradually increases, breaking through the 131.0 resistance will be more convincing. Conversely, if the price falls back to around 118.0 and cannot hold, a reassessment of the next trend will be necessary.