I have a friend who is a dog operator.

A few days ago, I complained to him: You dog-like operators.

Getting an ENA lock-in pledge, and it starts to plummet after the pledge.

It takes a week to withdraw coins, and the rewards haven't been seen, even though the capital proportion isn't high.

But shamelessly, they even cut me. Playing like this in a bull market, aren't they afraid the project will die?

A friend comforted me by sharing some insider information.

(The following content is purely fictional)....

He said: I don't know if you've noticed the new coins on Binance.

Most new coins have a very obvious trend.

Launch, drop for a few days, then quickly pull up.

Soon after, it quickly entered an endless downward mode.

This is the method market makers use to offload new coins this year.

Why play like this?

Because the market makers didn't gain much from the previous large rise, they must take advantage of the volatility to cash out a bit from the project for future needs.

There are three specific steps:

Step one: In the first week after the launch, let retail investors who staked BNB to get airdrops sell first, which usually happens within a week. Those who are grabbing staking rewards and not planning to hold long-term will have sold out by then. During this stage, market makers won't support the price. The few market makers of ENA are even harsher, directly staking the native currency to give other airdrops, just to reduce retail liquidity for better control of the coin price in the future.

Step two: It's time to offload, but right now the retail funds in this market aren't enough to take over.

So while staking, market makers also need to offload through contracts.

A typical practice is to quickly pull up a large amount through spot trading.

Usually, it suddenly surges by half or even doubles in one or two days, but the price typically won't exceed the previous high.

Even if it exceeds, it won't be by much, the goal is to not give the first batch of people who entered at opening any chance to exit.

The funds that triggered this wave of rise don't need to be much; retail investors don't have many chips in hand, and the rising time is very quick.

After the rise, you will find that the open interest of this token's contract suddenly surges, and then the contract fees start to turn negative.

This phenomenon basically indicates that market makers have started shorting the contracts.

Step three: It's the market makers continuously offloading in the spot market.

Although smashing the spot won't cash out much, the contract gamblers have provided enough exit liquidity for the market makers.

In these three steps, the only thing you can do as a retail investor is actually the third step:

Follow the market makers to short (diversify and use low leverage).

At other times, you short, and you could be suddenly blown up any day.

Choosing to go long directly becomes the exit liquidity for the project team.

To seize such opportunities, you need to be relatively sharp; market makers won't maintain high prices for more than two or three days.

If a coin suddenly surges by dozens of points in one day, go to coinglass and keep an eye on the contract's open interest and fees.

When open interest surges and the fees start to decline or even turn negative, that's when the market makers are building short positions.

Look at aevo, banana, io, tensor; they all went this way. So I hope that when you see a new coin launch next time, and it suddenly surges for a day or two, you first think the market makers are starting to offload, and don't think about whether the operators are going to pump the price or whether you should go all in chasing the rise.

After hearing this, I was educated by the dog operator again, and it was quite expensive!

Let me share this with everyone, a gift for those predestined.