Layer is online, the more it rises, the more it is short? ! The basis behind it is thought-provoking

Yesterday, Solayer token $LAYER was launched on multiple trading platforms. The price trend, liquidation volume, annualized negative fee rate, etc. can all show that the long and short game is not giving in to each other, and there is also a phenomenon of "the more it rises, the more it is short". This morning's short squeeze made the market situation more complicated.

After listing on Binance, the price of LAYER first fell to US$0.8, and then rebounded by more than 50% to US$1.2. The liquidation volume in the past 24 hours reached US$22 million. The annualized negative fee rates of Binance and OKX reached 4380% and 3285% respectively. The long and short game revolves around funding rates and position management. Bulls use short squeezes to push up prices, and bet that shorts will find it difficult to profit when prices fall.

In terms of trading restrictions, the OKX full-position mode only allows shorting of 10,000 coins. When the price is higher than $1, short sellers need to slow down their positions in other accounts, which limits short-selling operations and breaks the balance of long and short forces.

At the price level, the over-the-counter trading price of $LAYER is $1.16, and the public pre-sale price is $0.35. I also plan to set a range of $0.7-1.5. However, the current high price deviates from the actual value, increasing investment risks. Solayer's liquidity is also critical to the development of LAYER. Although increasing liquidity can increase trading activity, it may reduce the profit of the Meteora pool. The project party needs to balance the two.

Behind the "more rising, more shorting" is the market's different perceptions of the value of the newly launched $LAYER. The Solayer project was established in 2024 and received $12 million in seed round financing, with a TVL of $370 million and more than 275,000 users, but EigenLayer's TVL is 10 billion.

$LAYER will unlock more than 100 million tokens in March, which may cause selling pressure on the price. Set a full position to short in the $1-$1.2 range. The more the price rises, the more short positions will be added. The goal is to cut in half.

The above are just my personal opinions and operational suggestions, for reference only👀

$Layer