$LA Signal】Short Position + Main Force Distribution/Trap for Inducing Buying



After completing an extreme rally on the 4H timeframe, the price consolidates at high levels, but the main force's behavior has already revealed an intention to distribute.

🎯 Direction: Short

Data reveals the truth: 1) After a massive increase on the 4H chart, open interest (OI) remains stable rather than increasing in sync, indicating that the rally is not driven by new long positions from main forces, but rather by short squeeze or internal market counter-trading. 2) The latest 4H candlestick buy/sell ratio plummeted to 0.37, and Taker Volume shows dominance by sellers, confirming the emergence of selling pressure at high levels. 3) Negative funding rate (-0.3774%) indicates extremely high costs for short positions, yet the price has failed to break higher, posing a risk of a "short squeeze failure leading to a decline." The 4-hour candlestick shows a long upper shadow, and the current price hovers narrowly around 0.28, which is a typical sign of exhausted upward momentum and distribution pattern.

Logical core: Price action (PA) diverges from on-chain data. A healthy breakout should be accompanied by rising OI and continuous absorption of buy orders, but currently, we see “rising price, stable OI, large sell orders,” which is a classic trap for inducing buying or main force distribution. Market sentiment has shifted from FOMO to hesitation. The next high-probability path is to liquidate high-fee short positions downward, then initiate a pullback. The risk-reward ratio here is extremely poor, with risks far outweighing potential gains.

Trade here 👇 $LA
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GateUser-df8b95f4vip
· 3h ago
really
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