How are you all doing? Still fighting against the short positions? #BTC #ETH
The market's long and short contention is intensifying, be cautious of the risks of the main force's counter-operation.
Currently, there is a phenomenon in the cryptocurrency market that deserves attention: nearly 80% of retail investors and KOLs are generally bearish, with expectations of a drop to the 92000-80000 range. This high level of consensus in market expectations may contain significant trading risks.
From the perspective of market operation rules, when the vast majority of investors form a one-sided expectation, a counter-trend often occurs. The main reasons are:
Main capital usually adopts an operation strategy opposite to that of retail investors.
The market needs to liquidate overly crowded trading positions.
Consistent expectations can easily lead to liquidity imbalance.
It is particularly noteworthy that there are three major contradictory signals in the current market:
The continued accumulation of short positions diverges from the futures funding rates.
The pessimistic sentiment of retail investors contrasts with the technical support levels.
The market's trading activity level does not match the price volatility.
For investors, the suggestions are:
① Avoid blindly following market sentiment in operations.
② Strictly control the leverage ratio.
③ Pay attention to the fund movements at key support levels.
④ Prepare comprehensive plans for both long and short positions.
The market always carries uncertainty, and in the face of extreme bearish sentiment, it is indeed necessary to be wary of the risk of the main force pulling up the market. However, investors should maintain rationality, develop trading strategies based on their own risk tolerance, rather than simply betting on a one-sided market.
