The coin is put on the watchlist
Price doesn’t go down
This is a fairly common paradox in the crypto market. A coin being added to a watchlist (Monitoring Tag) or facing the risk of delisting does not necessarily mean the price will drop immediately. In many cases, the price can even rise sharply. This comes from the supply–demand structure and market sentiment more than from the news itself.
Short Squeeze
This is the most common cause.
After bad news:
Many traders open Short positions.
Funding Rate is strongly negative.
Open Interest increases.
As long as a large buy order shows up:
→ the price rises.
When the price rises:
Short orders get liquidated.
the automated system buys to close positions.
This creates a chain reaction that makes the price jump very fast.
$EPIC
Price doesn’t go down
This is a fairly common paradox in the crypto market. A coin being added to a watchlist (Monitoring Tag) or facing the risk of delisting does not necessarily mean the price will drop immediately. In many cases, the price can even rise sharply. This comes from the supply–demand structure and market sentiment more than from the news itself.
Short Squeeze
This is the most common cause.
After bad news:
Many traders open Short positions.
Funding Rate is strongly negative.
Open Interest increases.
As long as a large buy order shows up:
→ the price rises.
When the price rises:
Short orders get liquidated.
the automated system buys to close positions.
This creates a chain reaction that makes the price jump very fast.
$EPIC