The analyst’s short-term roadmap hinges on a classic liquidity sweep plus momentum divergence. After a vertical wick clears resting bids and tripping stops, he looks for price to “chop,” revisit—and marginally undercut—the intraday low, while the RSI sets a higher low. “What we’re looking for structurally… is a higher low on the RSI, perfect if it’s in the oversold area… when we have a higher low on the RSI and a lower low in price action… the momentum of the selling is waning,” he said, calling this setup a reliable reversal tell “the higher the timeframe, the better.”
XRP, he said, “pinpointed” its only notable pocket of sub-price liquidity, wicking to $2.66, a level he mapped against $2.8–$2.69. He now sees the “main liquidity… above us for XRP at $3.40, while allowing that a brief wick-fill toward today’s low could complete the divergence pattern he’s watching.
Cardano “wicked into” a mapped liquidity shelf near $0.77, with “main liquidity… up at $1.00 and $1.20” on the daily, a configuration he views as asymmetrically favorable once the market stabilizes.
Throughout, he emphasized that today’s damage was amplified by leverage, not fundamentals. “We’ve had a liquidity flush,” he said, referencing a social post he saw that “a billion dollars of leverage got flushed out in 30 minutes.” For him, that is “positive; we want to see this leverage reset.” He cautioned that near-term direction is hostage to US cash-market flows—“The US might wake up and… sell, or… buy the [dip]”—but insisted the larger structures are intact: “Weekly… we’re still sitting at all-time highs… Whether the top’s in or not, I don’t think so. I really, really, really, really, really don’t think so.”
His near-term checklist is straightforward: let volatility run its course, look for the RSI higher-low against a marginal price lower-low, and respect predefined support/target zones. “Take your emotion away and look for structures that you know are bottoming structures,” he said.
The trader psychology, in his telling, is as critical as the levels. “These things happen and it feels like a culmination of sentiment… anger, frustration, and now probably despair… If it’s too much… go for a run,” he advised, adding that “the market doesn’t care” about anyone’s mood and will “do what it’s going to do anyway.”
If the “real storm” is still to come, he implies it’s the post-flush move that matters—whether a final liquidity sweep completes the divergence or a swift rotation lifts majors into the overhead liquidity he’s mapped. Either way, he argues, the decisive phase is ahead, not behind: “Let’s see how things play out… It’s not a time to panic… If you want to be buying things… when we’re oversold like this, it’s a decent time to buy,” he said.
At press time, ETH traded at $4,185.
