The recent wave of correction has set back many projects in the privacy track, with the market fluctuating around $0.0654, a 15% drop in a single day, and the market cap shrinking to $31.86 million. However, a closer look at the daily data shows that things are not as bleak as they seem.

The RSI remains stable around 62, the MACD histogram is still strengthening, and the price is firmly above the 12-day and 26-day moving averages. These signals indicate that although the decline is fierce, it hasn't gone completely out of control.

The truly interesting part is in the futures market. In just one day, open interest evaporated by over 30 points, falling from a high level to $5.96 million, clearly indicating a panic sell-off by leveraged traders. Binance and MEXC's funding rates have all turned red and negative, meaning shorts are causing longs to lose money. Based on experience, such an extreme imbalance in market sentiment often signals that the market has already overreacted.

Looking at the liquidation distribution chart, there is a $238,000 long liquidation wall near the $0.0640 price level. If this level can hold, technically, it could form a solid support platform.

The hourly chart is somewhat weak, but when viewed on the 4-hour or daily chart, the overall trend still points upward. The ADX strength indicator remains between 37 and 41, indicating that the momentum of the main trend has not truly diminished. For participants who can tolerate volatility, this position is actually worth reconsidering their holdings.

Speaking of privacy compliance, there are not many projects that have real-world applications and can sustain long-term development. The market correction is actually a filtering period.