#ETH Shorting now is just giving money to the main players, do not short! Do not short!
The main players are in a difficult position now, having pulled up from 3700 on August 7 to 4700 on the 14th, with contract holdings rapidly increasing from 29 billion to 60 billion! This means the main players' cost is already above 4000!
Currently, there is insufficient selling liquidity above, and if the main players continue to buy chips, it will lead to a rapid price increase breaking the historical high of 4877. However, the consensus among all retail investors is that Ethereum is garbage; no one forgets the 1400 ETH from three months ago! So no retail investor is willing to chase the price at this level!
Therefore, there is insufficient buying liquidity below, and the main players cannot liquidate their positions. If they force a liquidation, it will cause a rapid price drop, leading to a chain reaction of continuous liquidations for the main players. Thus, the main players can only continue to consolidate or push up the price, but pushing up will quickly expand the cost of holdings and capital risk. As long as there are external funds entering the market to short, or if someone among the main institutions rushes to sell, with insufficient liquidity below, the main players will face a chain liquidation!
However, if retail large holders continue to short, the cost for the main players to consolidate or push up at high levels will be very low, as their buying won't quickly push up the price. Maintaining high leverage within the range can sustain capital costs! Now, with the main players holding 40 billion, calculating at 5x leverage and an annual interest rate of 5%, the daily capital cost is only 1 million dollars! Shorting is just sending daily capital costs to the main players!
The main players will wait for risk digestion before continuing to push up! Ultimately, even low-leverage short positions will be liquidated! Do not short now!! $ETH
