Delisting Token Short-term Risks and Strategy Reminder
$BSW, $ALPHA, $KMD Confirmed for Delisting on July 4th by Binance
According to Binance's official announcement, the three will stop all spot trading at 11:00 AM Beijing time on July 4th, due to failing the regular asset review 147. It is particularly noteworthy that $KMD (Komodo) was previously classified by Binance as 'under surveillance' (June 5th), posing a risk of abnormal price fluctuations 3.
Key Risks and Market Behavior Analysis
Significant Characteristics of Controlled Price Increases
Recently, these tokens have shown extremely high volatility; some market makers may use the delisting countdown to create both long and short squeeze scenarios, making retail investors easy 'fuel for the dump'.
$KMD has no contract protection mechanism; previously, it saw a single-day drop of 50%, and the sudden reduction in liquidity exacerbates the risk of price collapse 36.
Technical Aspects and Ecological Vulnerability
Although KMD uses the Bitcoin blockchain to enhance security (dPoW mechanism), the delisting directly impacts its liquidity, and its technical advantages fail to counter the collapse of market confidence 69.
Similar delisted tokens (like LEVER, LTO) face a typical path of liquidity exhaustion → price halving 110.
Trading Advice: Differentiated Strategy Response
✅ Aggressive Short-term Traders:
Can utilize high volatility to speculate on price swings (for example, your short position with 5x returns case), but must closely monitor market maker actions, entering and exiting quickly.
Pay attention to the last 48 hours before Binance delisting; historical experience shows there may be violent spike events.
⚠️ Ordinary Investors:
Lock in profits: Immediate profit-taking is recommended to avoid liquidity traps leading to inability to close positions.
Avoid bottom-fishing: After delisting, most tokens transition to over-the-counter trading, with a very high probability of prices dropping to zero.
Today's Alternative Opportunities
ETH: Benefiting from ETF expectations and a recovery in on-chain activity, technically breaking through key resistance levels 58.
TAO (Bittensor): Leader in the AI sector, with rising institutional holdings, significantly resisting market volatility.
Short-term market sentiment is focused on the Binance delisting event, but ETH/TAO has fundamental support to hedge against high-risk asset losses
