When I opened my eyes in the morning, I found that the short position on FOLKS successfully took profit, and I felt pretty good about it. Let me share with everyone my thoughts on shorting this altcoin.

When I first noticed it, the price had already dropped from $46 to around $25. Such a decline from a high position basically indicates that the previous surge has reached its peak, and next, either the trend weakens or it directly reverses.

At that time, my overall judgment of the market was somewhat pessimistic. BTC had already broken down on the daily chart, and ETH was also starting to distribute tokens at a high level, indicating a clear market correction. When the market as a whole weakens, those highly volatile tokens often drop first.

Moreover, small-cap tokens usually experience a parabolic rise first, followed by a deep correction. So, around $25, I directly took a 3x leverage short position, setting my take-profit point around $14.

As a result, this short position went quite smoothly, with no destructive rebounds, and the price did not break through my entry level, indicating that my short logic was correct.

If you also want to know my precise entry points and trading thoughts, join 大毛的淘金基地 at @大毛淘金 . The strategy is still ongoing, so if you want to get in, hurry up! #巨鲸动向 #加密市场观察