SOL currently presents an interesting contradiction signal. The liquidation of long positions accounts for as much as 96%, which in itself looks dangerous, but at the same time, open interest is still rising against the trend, with an increase of 1.7%, along with the positive funding rate maintaining at the level of 0.01%. This combination often indicates the formation of a bull trap.

From a technical perspective, the $117 price level has accumulated $241M in liquidation pressure, making it a clear target for short positions. Considering the upcoming Christmas holiday, market liquidity is expected to contract, and in such an environment, downward volatility is usually amplified.

Based on this judgment, using 5-7 times leverage to short the range of $123-125 is quite suitable. The primary target is to focus on $117, which is the area with the densest long position liquidations, with a potential decline of 5.6%. If the breakdown is successful, the psychological integer level of $112 can serve as an extended target, increasing the decline space to 9.7%. Set the stop loss at $128, leaving a buffer of 3.2% for medium to high leverage. The entire trading cycle is expected to be completed within 12-24 hours, with a risk-reward ratio of 1.75, strictly executing take-profit in batches. Once the chain liquidation market is triggered, a potential decline of 6-10% is possible.