BEAR MARKET RALLY OR DEAD CAT BOUNCE? $FOLKS UP FROM LOWS, BUT STILL DOWN -30% 🔻
$FOLKS has bounced from its absolute low of 6.862 to 7.655, but remains in a deep crisis, down -29.65% on the day. The astonishing data point? Bullish sentiment has SURGED to 67.53% longs (L.S. Ratio: 2.08) even as price crumbles. This is either the ultimate contrarian bet or a sign of a trapped, hopeful crowd.
⚔️ THE GRIM REALITY VS. BULLISH HOPE:
· Price Action: Still catastrophic. Down from 11.50 today, in a -80% crash from 24h highs days ago.
· Extreme Sentiment Divergence: 67.53% are LONG a crashing asset. Unprecedented optimism in the face of disaster.
· Oversold, But Broken: RSI is oversold, but in a breakdown, this can persist.
· Volume: High volume (49.9M) confirms this is still an active liquidation/battle zone.
This is a psychological extreme. The crowd is betting heavily on a reversal, but the chart shows only collapse. Who will break first?
⚠️ UPDATED FORECAST: HIGH-RISK BOUNCE PLAY (Extremely Speculative)
The bounce from 6.86 is the ONLY positive. Any long trade is a pure gamble that this is the final washout low and the bullish sentiment will manifest in buying.
· AGGRESSIVE LONG Entry (Speculative): 7.20 - 7.60 (Near the bounce support)
· CONDITION: ONLY IF price holds above 7.00 on a 1H basis.
· Take Profit (if long): 8.50 - 10.86 (First major hurdles)
· Stop Loss (if long): 6.80 (Below the absolute low)
🚨 THE SAFER LOGICAL PLAY:
The trend is undeniably down.The MACD is negative. The safer trade is to WAIT for any bounce to fail near 9.00 or 10.86 and consider a SHORT entry for a retest of lows.
This is not investing. This is gambling on sentiment extremes. The bulls have drawn a line in the sand at 6.86. If it breaks, the fall could be endless.
Watch $FOLKS / USDT - A Case Study in Market Psychology. Extreme Caution. ⚠️🔔
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