Recommendation 1: POWER (Powerloom) ⭐⭐⭐⭐⭐
Fundamental Data
Current price $0.227, market cap $554k, FDV $2.93M, FDV/MC 5.28 times, circulation rate only 18.95% (189M/1B). An Ethereum chain data infrastructure project, just launched on Binance Alpha/Perpetual on December 5-6, categorized as a new listing within 14 days. VC funding $3.29M (led by Blockchain Capital and DeFiance Capital in the 2021 seed round).
Core Short Selling Logic
1. OI Epic Crash -57.45%
In the last 24 hours, OI has plummeted from a high of $12.3M, with Binance down to $5.3M and Bitget at $3.2M. This evaporation rate of over 50% in OI indicates a massive capitulation of leveraged long positions, lacking follow-up buying power.
2. Technicals are extremely oversold but the trend has not changed
1-hour RSI 16.95 (extremely oversold area), ADX 41.16 (strong downward trend), price $0.227 is below all EMAs (EMA12 $0.251/EMA26 $0.281/EMA50 $0.296), MACD histogram -0.0045 continues to show bearish. Although the RSI is extremely low and there is a risk of a technical rebound, the strong trend of ADX + OI collapse shows that downward momentum has not been exhausted.
3. Long position liquidation dominates 71%
In the last 24 hours, long positions of $318k accounted for 71% of liquidations, while short positions were only $93k. The liquidation cluster shows accumulation of long positions below $0.23 ($0.2206 accumulated $4.4k, extending to $0.2034 accumulated $213k), breaking below will trigger a chain liquidation.
4. On-chain chips are extremely concentrated
The top 10 addresses hold 92.3% of the total supply (923M POWER), with the top two holding over 20% each. There are no known exchange wallets, all are unknown whale addresses, indicating high control by the project party/team/VC. No large transfers (>1M tokens) in the past 7 days, suggesting that whales have not yet sold, but the concentration poses a risk.
5. Positive funding rate advantage
Both Binance and Bitget have a funding rate of +0.005%, with longs paying fees to shorts, reducing the cost of short positions. This contrasts with the negative funding rates of LAVA/THQ, providing a cost advantage for current shorts.
6. Fundamentals have no support
Non-DeFi protocols have no TVL data, only serve as data service infrastructure. The market cap is only $554k, extremely small, with $2.93M FDV entirely reliant on narrative hype. Mainnet launch is planned for January 10, but there are currently no actual protocol revenues or user verification.
Operation Suggestions
Entry price: $0.225-0.230 (current price or slight rebound below 1-hour EMA12)
Target price:
First level: $0.210 (-7.4%, testing liquidation cluster $0.2206) Second level: $0.203 (-10.6%, deep liquidation zone $0.2034)
Stop-loss price: $0.245 (+7.9%, above 4-hour EMA12, to prevent oversold rebound)
Risk-reward ratio: 0.94 (first level) to 1.34 (second level)
Suggested position size: 35-40% of capital, leverage ≤2x
Holding period: 3-5 days
Risk Warning: 1-hour RSI 16.95 is extremely oversold, with a risk of a technical dead cat bounce to $0.24-0.25. Suggest entering in batches: first batch 15% at current price, remaining 20-25% waiting for a rebound to $0.24+ before increasing positions. If RSI rebounds to 30+ and ADX drops below 35 (trend weakens), immediately reduce position by 50%$POWER #巨鲸动向
