However, before a major dump, shorts on retail traders will likely get squeezed first. Check the funding rate and fees — that’s the key signal. Price may bounce back to $32 first, then drop again. I’m not calling for longs, but avoid heavy shorting. Stay smart and hedge your position like I do if you know how to use hedging strategies." means that the author thinks $LAB currently has downward pressure because early participants (“testers”) are selling their tokens, but they expect the market might first move upward to force many small/retail short-sellers to close (a short squeeze) before a bigger drop happens.

They’re pointing to the perpetual futures funding rate and fees as a key indicator of whether the market is overcrowded on the short side (or long side), which can increase the chance of a squeeze. Their price scenario is a rebound toward $32, followed by another sell-off.

They are not advising people to go aggressively long, but they also warn against taking large short positions because a squeeze could hit shorts first. “Hedge your position” means reducing risk by balancing exposures (for example, combining spot holdings with a smaller futures position or other protective trades) so a sudden spike or dump doesn’t cause a large loss.

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