SKY has recently shown a good short-selling signal on the 4-hour timeframe. From a technical perspective, several key factors point to downward pressure.



**Current Price and Entry Strategy**
The price is hovering around 0.0641, reaching the upper area of the recent range (approximately the first 25% of the range height). In accordance with risk management principles, a light position is recommended, with each trade controlling around 0.7%. Set the stop loss at 0.0658, with a risk of about 2.69%. This setup provides a reasonable buffer for price rebounds.

**Technical Indicator Support**
The RSI has entered the overbought zone (above 65), indicating short-term overheating. Interestingly, the 0.0641 level itself is quite strong, having been tested 29 times historically, with a technical strength of 60%. Coupled with the performance of key moving averages, this forms a relatively clear resistance.

**Expected Targets**
If the short-selling logic is valid, the first target is around 0.0615 (reward-to-risk ratio 1.5:1), the second target is around 0.0598 (reward-to-risk ratio 2.5:1), and a more aggressive target could be 0.0572 (reward-to-risk ratio 4.0:1).

**Market Conditions**
Current trading volume is subdued, with a volume ratio of only 0.2, indicating moderate market participation. The long-short ratio is 1.33:1, reflecting a neutral to slightly weak sentiment. In this environment, don’t expect a one-sided sharp decline, but there are still opportunities for range-bound shorting.

**Key Reminder**
The ADX strength is at 50.7, indicating some trend strength. However, since this is a ranging market, S-level signals are relatively scarce and require stricter discipline in execution. The signal is valid for 480 minutes (starting from 2026-01-17 21:47), after which re-confirmation is needed.

Cryptocurrency markets are highly volatile, so short-selling should pay close attention to risk—strictly set stop losses and avoid greed. This analysis is for reference only; please reassess based on your own risk tolerance before entering any trades.
SKY-0.88%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 9
  • Repost
  • Share
Comment
Add a comment
Add a comment
PonziDetector
· 01-20 14:19
The trading volume is so low, yet still daring to short, isn't that courting death?

---

RSI overbought and entering the market? I think you're overconfident.

---

Playing with a 0.7% position and being so conservative, might as well wait and see.

---

Only 480 minutes of validity? Feels like the signal is a bit虚假.

---

Again with light positions and strict stop-loss, after all this talk, still hesitant.

---

Can the market with a 1.33:1 long-short ratio really oscillate and short? I remain skeptical.

---

29 tests of the key level with a strength of 60%, sounds impressive but the trading volume is only 0.2 times.

---

Saying you're not greedy sounds good, but who can truly stick to it when losing money?
View OriginalReply0
GateUser-afe07a92
· 01-20 10:14
0.0641 this point is back again, is it really impossible to withstand 29 tests in history

---

With such poor volume, do you still want to buy? I trust more in sideways shorting

---

RSI overbought is overbought, but it’s ridiculous to drop to 0.0572

---

The 480-minute validity period must be re-evaluated later, don’t stick to signals blindly

---

A small position of 0.7% is safer, just worried about a sudden surge triggering stop-loss

---

Is trading at 0.2x volume really appropriate in this market? It feels a bit虚啊

---

Long-short ratio 1.33:1, neutral leaning weak, at this point, shorting depends on sector trends

---

The first target of 0.0615 feels enough, forget about the rest

---

ADX50 still talks about trend strength? This data is a bit awkward
View OriginalReply0
PerennialLeek
· 01-19 06:42
Still daring to short with such low volume, quite brave huh

RSI overbought and just short? I think I'll wait a bit, afraid of missing out

0.7% position size, this cautious approach really shows you're afraid of losing money

If it can't break 0.0615, I'll admit defeat, not playing that gambling game

This kind of market is suitable for oscillation, don't expect a continuous surge

Basically, it's betting on ADX holding up, if it reverses, it's gg

With a 480-minute expiration, I have to watch the market again, so tiring

Oscillating shorts are most easily trapped, I'll just watch and see
View OriginalReply0
ContractExplorer
· 01-17 14:54
0.0641 this key level was tested 29 times? That's a bit heartbreaking, feels like it's about to break

---

With such sluggish volume, daring to short? Your courage is really bold

---

RSI overbought and thinking of crashing? Watch out for reverse pinning, buddy

---

480-minute validity period, feels like time is tight

---

A short signal under low trading volume, how reliable is it? Question mark

---

That target at 0.0572 is a bit greedy, better to be conservative for better sleep

---

Neutral to slightly weak sentiment for shorting, almost like gambling

---

A 2.69% stop loss feels a bit tight, easy to get shaken out

---

This kind of volatile market is the most annoying, chopping back and forth like harvesting chives
View OriginalReply0
FantasyGuardian
· 01-17 14:54
Don't try to short in a sluggish volume, be careful of getting crushed
View OriginalReply0
nft_widow
· 01-17 14:54
0.7% position... Still debating about this, might as well just wait and see

---

RSI overbought and thinking of shorting, I've seen this trick too many times, wait for a rebound before acting

---

Would you dare to trade in a market with only 0.2x volume? I think I'll wait a bit longer

---

So basically, it might go down or it might not, what's the point of this analysis

---

I'm really impressed with the 480-minute invalidation setting, the market doesn't follow the rules anymore

---

The key level 0.0641 has been tested 29 times, which means the bulls are very strong, I'm scared now

---

It's most awkward to short in a sluggish market, easy to get trapped, better to miss out
View OriginalReply0
LiquidityOracle
· 01-17 14:51
Trading volume is too low. How can I dare to hold a heavy position in this market? Better to wait and see.

---

RSI is overbought but volume is sluggish. It feels like there’s still room for a rebound. No rush to sell.

---

0.0641 tested 29 times? That level is indeed a bit aggressive, but low volume shorting also carries risks.

---

The 480-minute timeframe is too sensitive; I need to watch it constantly, which is a bit tiring.

---

Neutral but slightly weak, still leaning towards shorting. That’s a bit bold. I’ll wait until the volume picks up.

---

Stop loss is only 2.69%, quite strict, but the risk-reward ratio is just average.

---

This is how a ranging market looks. Don’t expect big moves. Being more conservative is the right choice.

---

Aggressive view at 0.0572? It’s possible, but only if the volume supports it.

---

Long/short ratio of 1.33:1 doesn’t have much advantage. Why force a move now?

---

ADX over 50 is not weak. How can it be a ranging market? It feels a bit contradictory.
View OriginalReply0
SelfCustodyBro
· 01-17 14:48
Shorting in low-volume conditions... this wave requires careful selection of good entry points

---

The 0.0641 level has been tested 29 times, if you dare to short, you must carefully consider the risk-reward ratio

---

The volume is only 0.2 times, which is really awkward, don't expect a continuous rally

---

RSI is overbought, but how deep can the market fall with this sentiment? Caution is wise

---

480-minute validity period, remember to review it when it expires, don't stick to outdated signals

---

Entering with a small position of 0.7% is a decent suggestion, fear of greed will only get you wrecked

---

The long/short ratio of 1.33 is slightly weak and leaning towards the downside, indicating some room for further decline

---

This is how a sideways market looks, don't expect a one-sided trend, quick entries are key for shorts

---

Key level strength is at 60%, whether it breaks depends on whether today's trading volume is strong enough

---

An aggressive view at 0.0572 with a risk ratio of 4:1, but is it really brave to trade with such low volume?
View OriginalReply0
DAOplomacy
· 01-17 14:40
ngl the whole "0.2x volume" thing basically screams low participation, which historically suggests path dependency on whoever moves first... arguably the incentive structures here are just sub-optimal for directional conviction
Reply0
View More
  • Pin