December 16｜MERL Continues to be Bearish

OKX market shows that $MERL briefly surged to 0.44 USDT, currently reported at 0.436 USDT, with a 24H increase of 17%, CMC market cap ranking Top 100.

However, a surge does not indicate a trend reversal.

From a technical perspective, 0.44–0.45 is a key strong resistance, having failed multiple times to break through, with volume not keeping up, and the structure weakening (as indicated on the 14th).

The market logic resembles a dealer rapidly pushing prices up in a low liquidity environment to create FOMO, inducing retail investors to chase long positions and open leverage.

On-chain signals indicate that large holders' chips are beginning to transfer to exchanges, which is more in line with seeking liquidity rather than building positions continuously.

Trading strategy: Currently, do not chase long positions; focus on shorting opportunities in the 0.43–0.45 range. If sentiment falls back and the structure reverses, the target is first looking at around 0.35.

In summary: The faster the surge, the harsher the pullback often is, MERL remains a bearish target in the rebound.