SQD Bear Trap? Funding Rate Reveals Extreme Risks!
From the technical chart, SQD has shown a vertical surge on the 4-hour level, with prices breaking away from all moving average indicators under the impetus of massive trading volume, indicating an extreme overbought state. This parabolic rise is often unsustainable and suggests potential pullback risks.
Key on-chain data has exacerbated this tension: currently, the funding rate for SQD has turned extremely negative. This indicates that a large number of traders are actively shorting, betting that prices will fall. However, this concentrated short position could also fuel a short squeeze, pushing prices higher.
Strategically, pay attention to the reaction in the current 0.088 area. If the upward momentum is weak, the target looks back to the 0.079 to 0.070 area. If prices continue to break strongly above 0.097, this bearish structure will fail.
$TON $SQD
