【$ALLO Signal】Long | Healthy Consolidation After Short Squeeze Initiation

After a volume breakout on the 4H timeframe, the price consolidates within a narrow range below the previous high resistance zone (0.082). This is a typical healthy reset after a breakout, not a top.

🎯 Direction: Long

🎯 Entry: 0.0815 - 0.0818

🛑 Stop Loss: 0.0795 $ALLO Rigid stop loss, below the previous 4H candle low and EMA20 support (

🚀 Target 1: 0.0865

🚀 Target 2: 0.0920

Market Analysis: The price has strongly broken above EMA20 (0.0671) and EMA50 (0.0651), confirming a trend reversal. Consecutive bullish candles on the 4H chart accompanied by increased volume indicate buying dominance.

Core Logic: Currently, RSI is at 79.32, appearing overbought, but the funding rate is only 0.005% (not overheated), and open interest remains stable. OI has not decreased, ruling out the possibility of major players pushing the price up to dump. The depth imbalance is at -75.5%, with a massive sell wall (Asks) stacked at 0.08197 (48,573 units), forming a clear resistance barrier. Once absorbed by buyers, it will trigger a liquidity vacuum, accelerating upward movement.

This is a typical “short squeeze preparation” structure: high RSI + stable OI + moderate funding rate + deep sell wall = major players accumulating. The entry point is in the upper part of the latest 4H candle body and above EMA20, representing a low-risk pre-breakout position. The stop loss is set at the point of logical failure (below the consolidation zone and previous low), with a risk-reward ratio >2.5.

Trade here 👇 )

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