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$STO's recent performance is quite interesting. Driven by huge trading volume, it broke out strongly, with the price soaring by 44.89%. Looking at the open interest, it is also showing significant growth, which is almost a typical signal of main capital inflow, definitely not a bearish trap.
My view is to go long. The entry zone is between 0.1080 and 0.1120, with a stop loss set at 0.0990, which is a rigid stop-loss point that cannot be touched. The first target is 0.1300, and the second target aims for 0.1500.
Why analyze it this way? Simply put, after a massive long bullish candle, the price has completed its first breakout. The high open interest indicates that new long positions are being rapidly established, and the overall market structure has shifted to a strong trend. The key support has moved up to around the breakout area of 0.105 to 0.108. As long as the price can stay above this support zone, maintain healthy consolidation, and absorb profit-taking, the upward momentum will definitely continue.
Therefore, when the price retraces to the entry zone during the first correction, it presents a low-risk entry opportunity worth close attention.