The most popular performer these days is undoubtedly $MYX from the M family. After nearly three months of bottoming out, it has become another alpha after $M, with a 20-fold increase. Its 24-hour contract trading volume has reached 4.5 billion. Too many short sellers at the top have become fuel for the rise.
This strategy has been repeatedly successful with $H and $M. There's actually not much spot trading, and they rely solely on contract explosions to make money. Shorting such aggressive coins is not recommended. Take $M, for example. It also saw a 20-fold increase. Even if you catch a major drop, the return is still 50-60%, and you still have to endure funding fees. Not only are the odds of success low, but even if you do succeed, the returns are significantly reduced!
If you really can't help but want to short, I recommend focusing on two key factors:
1. Trading volume must shrink by 50%-60%. I remember when $M reversed its trend, trading volume shrank from a peak of 1.9 billion to around 800 million.
2. Funding fees can't be maintained at -2%. Once it reaches -2%, it immediately drops back below -1%.
Both are essential.
This isn't to suggest shorting at the top, but rather that alpha is more interesting than secondary altcoins. Aside from mainstream stocks (including established ones) and two hot altcoins, my portfolio is all alpha. If the market has been oscillating for over two weeks, trading volume is decent, and there's been no market rally, then a small position with a 20%-30% profit and then a sell-off is a good win rate! Even with recent airdrops, there's a small drop after going public, and then a market rally begins!
