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FHE has been acting a bit strangely in this recent market rally. The price surged by 13%, and many are chasing, but have you noticed—trading volume actually shrank by 96%. Now that's interesting.
Raising the price without increasing volume—how to interpret this technically? Looking at the RSI across different timeframes, they are indeed showing strength, but the 1-hour MACD histogram is already close to the zero line and severely converging, which is a classic sign of momentum exhaustion. Even more telling, the 4-hour RSI is only at 55, nowhere near overbought territory, indicating that this rally didn't face significant selling pressure.
Here's the question: no one is selling—are retail investors really holding tightly, waiting to sell at higher levels? Or is there simply no buyer willing to take over? I lean towards the latter. When the market can move prices with extremely low trading volume, it’s usually not a sign of strength; rather, it suggests liquidity has become quite exhausted. Once a somewhat decent sell order appears, the price could easily plunge straight down.
**The current stance is to stay on the sidelines.** Neither bulls nor bears have the upper hand. If the price can break through 0.045 with increased volume and the 1-hour RSI stays above 70, consider a light long position; on the flip side, if it drops below 0.038 with significantly increased volume, bears might have a chance. But at this point? Holding USDT and waiting for opportunities feels more secure.
Risks are always present; trade cautiously.