The 4-hour chart of $LIGHT looks extremely bullish right now, with a clear bullish pattern. The upward channel shows higher lows and higher highs, and the gains are quite aggressive. However, a closer look at the technicals reveals some issues.
When the price hit new highs, MACD showed a bearish divergence, indicating that the upward momentum is weakening. The RSI is even more direct — it has reached an overbought level, suggesting that the rally has almost exhausted its upward potential. The ROC also confirms this: the current rally lacks new energy support and is mainly driven by inertia.
There are several possible scenarios for the next move. First, the price may pause around 2.70 and enter a wide-range consolidation phase, gradually depleting the bullish strength; second, buying enthusiasm may fade, causing the price to break below the upward trendline and trigger a quick correction; third, market sentiment could continue to push higher, but this would require actual positive news to sustain, otherwise the likelihood is low.
From a trading perspective, those holding positions should consider selling in parts at higher levels to lock in profits, as chasing the high carries significant risk. Those without positions should exercise restraint, avoid blindly following the trend, and remain cautious — waiting and watching is the safest approach.
Once the price truly pulls back to a key support level, RSI returns to the 50-60 range, volume significantly decreases, and signs of stabilization appear, then consider gradually adding to positions on dips — this approach keeps risk relatively manageable. If the price breaks below the trendline convincingly and MACD confirms a death cross at high levels, a small short position can be considered, but stop-loss must be set above the previous high.
Ultimately, $LIGHT is at a critical point where it cannot move higher easily. Don’t blindly chase the highs, nor rush to short. The market offers many opportunities, and there’s no need to take excessive risks for a single trade.
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LiquidationWatcher
· 2025-12-23 00:16
Top divergence plus Overbought, this wave of market is fierce but indeed overdrawn, without new momentum it's just a paper tiger.
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Around 2.70 is really a hurdle, either sideways or directly fall, I still wait for a pullback to say.
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The RSI has surged so high, do you still dare to chase? It's either gambling or giving away money.
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This is the time that tests mentality the most, seeing the limit-up line in front yet holding your fingers down, exhausting.
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Inertia uptrend is the most deceptive, buying now is just to catch a falling knife in the next pullback.
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Brothers with Holdings should take profits early, greed in this wave may lead to significant losses.
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Once the MACD death cross is confirmed, this will become a short positions trap, regretting will be too late by then.
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Not chasing the price and not shorting, waiting for opportunities with empty hands, this is the right path.
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It feels like there will be a period of volatility, those without patience should not mess around.
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How deceptive the paper tiger is, just look at this wave of $LIGHT to know.
View OriginalReply0
RadioShackKnight
· 2025-12-21 23:44
Top divergence + Overbought, this wave has indeed overdrafted a bit fiercely.
The MACD divergence signal never lies, how can RSI hold up like this?
It's more reassuring to enter a position after the pullback is in place, chasing now is just the fate of a dumb buyer.
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The risk is still too high, locking in profits is the truth.
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If 2.70 really can't hold, a quick pullback is a sure thing.
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We'll talk about it when RSI recovers losses, entering now is purely betting on human nature.
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This wave of rise already lacks new momentum, do we really have to push it up forcefully?
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Don't chase the price, wait for the signal to confirm before taking action, this is the surefire strategy.
View OriginalReply0
DoomCanister
· 2025-12-20 09:53
Bearish divergence + extreme overbought, this wave feels a bit虚, it seems like inertia is driving the move
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Oh my, RSI has soared to the sky, why chase now? Aren't you afraid of getting caught holding the bag?
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2.70 might really be a hurdle; if it can't break through, it will have to consolidate and drain
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I think, now just wait for a pullback confirmation; those who chased high earlier will have to suffer some losses
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Those holding positions should exit now; without new momentum to support, this rally will eventually fall
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Instead of risking chasing highs, it's better to wait for a clear low point; anyway, there are plenty of opportunities
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MACD has already diverged but is still pushing upward, a typical sign of a dying strong move
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Without positive news to support the rally, it's basically over; this wave is probably coming to an end
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Stay on the sidelines and observe; don't get emotionally hijacked, it's pointless to obsess over this one trade
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Regret not accumulating more at the low; now entering carries too much risk
View OriginalReply0
CodeSmellHunter
· 2025-12-20 09:32
Oh my, it's that kind of "it's already peaked" analysis again. Every time they say the risk is high, but the coin keeps flying. However, RSI is indeed a bit overextended, and I quite agree with this analysis this time.
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I've heard about bearish divergence so many times, yet I still get slapped in the face. Where's the promised pullback?
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Why does this analysis seem to apply to every coin? It's just waiting for a pullback and splitting into batches—this routine is so familiar.
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Those holding positions should have sold early. Saying now to sell is just hindsight. True experts would have taken profits at 2.5.
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So it's safer to stay on the sidelines now. Anyway, missing a wave won't kill you, better than being trapped.
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Amazing, one technical indicator after another points to overbought, and some people are still chasing the high? Their brains are really something.
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Wait, if we only short after breaking the trendline, isn't that just being a latecomer?
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I think, just wait for a clear signal. Don't listen to those "maybe" statements; the market doesn't do "maybe."
The 4-hour chart of $LIGHT looks extremely bullish right now, with a clear bullish pattern. The upward channel shows higher lows and higher highs, and the gains are quite aggressive. However, a closer look at the technicals reveals some issues.
When the price hit new highs, MACD showed a bearish divergence, indicating that the upward momentum is weakening. The RSI is even more direct — it has reached an overbought level, suggesting that the rally has almost exhausted its upward potential. The ROC also confirms this: the current rally lacks new energy support and is mainly driven by inertia.
There are several possible scenarios for the next move. First, the price may pause around 2.70 and enter a wide-range consolidation phase, gradually depleting the bullish strength; second, buying enthusiasm may fade, causing the price to break below the upward trendline and trigger a quick correction; third, market sentiment could continue to push higher, but this would require actual positive news to sustain, otherwise the likelihood is low.
From a trading perspective, those holding positions should consider selling in parts at higher levels to lock in profits, as chasing the high carries significant risk. Those without positions should exercise restraint, avoid blindly following the trend, and remain cautious — waiting and watching is the safest approach.
Once the price truly pulls back to a key support level, RSI returns to the 50-60 range, volume significantly decreases, and signs of stabilization appear, then consider gradually adding to positions on dips — this approach keeps risk relatively manageable. If the price breaks below the trendline convincingly and MACD confirms a death cross at high levels, a small short position can be considered, but stop-loss must be set above the previous high.
Ultimately, $LIGHT is at a critical point where it cannot move higher easily. Don’t blindly chase the highs, nor rush to short. The market offers many opportunities, and there’s no need to take excessive risks for a single trade.