The trend of MERL is currently facing significant pressure. From the candlestick pattern, after a rapid decline, the price is now forming a clear flag pattern at a high level, and the overall outlook remains bearish.

If the bears continue to dominate, the next target may be around $0.18. However, this is not set in stone—keyly, it depends on whether the $0.208 level can hold. Once this support is broken, the decline could accelerate.

Conversely, if the bulls can regain stability above $0.208 and push back above $0.212, it indicates that funds are supporting the price, and there may be short squeeze pressure. But so far, no such signals have been observed.

Overall, the short-term trading logic is quite clear: set stop-loss above $0.212, and look for further support at $0.18 below. Whether it triggers a final capitulation sell-off or a short-term rebound depends on the trading volume in the coming days.