SOL · 1H · DOWNTREND

The continuation long from my October 4th read hit Target 1 at 122.20, then reversed hard — price collapsed from 122.29 all the way to 105.71, taking out the 117.50 invalidation along the way. That move is done and the structure has flipped. On this 30M/1H window, I'm looking at a clear sequence of lower highs from the 125 area peak in late September all the way to now: 124 → 122 → 120 → 112 → 110. The daily trend is still technically up (higher highs and higher lows on the daily), but the damage since the 122+ print is significant — 117.50 broke clean, 112 broke, and price is now consolidating in a tight chop between roughly 108 and 112 after the flush to 106.

I'm not shorting from here. Mid-range between 108 and 112 gives me no edge in either direction. The flush to 106 swept the 107.5 liquidation cluster visibly, which typically marks the exhaustion low — but I need evidence the structure is building something before I re-engage long. A daily trend that's still bullish tells me I should be looking for a long, not a short, but I need this chop to resolve before I put anything on.

The liquidation map is useful here: dense clusters sit at 107.5 (already swept), 104.5 below, and 112.3, 116.7 above. Price is sandwiched. Funding is mildly positive at 0.0100% per 8h — longs are paying but it's not extreme, so no meaningful squeeze pressure in either direction. DFDV's preliminary Q3 showing double-digit growth in SOL per share is a mild fundamental tailwind, but it doesn't change the technical read.

I'm waiting for one of two things: either price holds above 108 and closes above 112 to confirm the base is forming and the downtrend on this timeframe is reversing, or it loses 107.5 again and sweeps toward 104.5, where I'd look for a bigger structural long against the daily trend.