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【$42 Signal】Short position + Margin Call Liquidation
$42 is experiencing a waterfall decline, with a single-day drop of over 37%. Combined with high open interest, this is a typical bullish margin call liquidation panic rather than a healthy correction.
🎯 Direction: Short
Market logic is clear: sharp price drops accompanied by high open interest are a chain reaction triggered by forced liquidation of futures longs. This type of selling has self-reinforcing characteristics. Until the margin call liquidation is fully cleared and a clear support signal appears in the price structure, any bottom-fishing behavior is equivalent to catching a falling knife. Currently, the market only shows selling pressure with no signs of buying absorption.
Trade 👇 $42
here
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