$NEIRO I have received some private messages asking me where the bottom is. I cannot tell you where the bottom is; it is not like BTC, which is the leader of all cryptocurrencies and has a clear consensus. Unfortunately, it is a strong manipulated coin, and where it drops to is determined by it. When it was at 0.002, people thought 0.0019 was the bottom; when it dropped to 0.0019, they thought 0.0018 was the bottom. Then when 0.0018 broke, some people thought this was panic and believed 0.0017 and 0.0016 were the firm bottoms, calling on people to refuse to sell. As a result, 0.0016 quickly broke down to 0.001388.
Last night was truly a panic in the real sense; at that time, you didn't need much volume to drop several points, and the long-short ratio plummeted.
It is generally believed that when coin prices fall, the long-short ratio rises because the longs are trapped, and people are unwilling to accept losses, causing the longs to increase. However, in the case of panic, the long-short ratio will decrease; only during panic do people sell their coins at low prices regardless of their losses.
Currently, the long-short ratio is above 1.75, so yesterday should have been painful for those who had been trapped for a long time, and a new batch came in to become the new trapped positions, or during the price rise today, some chased high and got trapped. It is clear that we are showing characteristics of a bear market, and I do not believe that the long-short ratio can sustain a rally at 1.75 to help them get out.
So where is the bottom? Nobody knows; we can only endure and wait for BTC to stabilize and enter an upward channel. However, meme coins often react ahead of BTC, so it’s worth paying attention to a few other brother meme coins. But this is a strong manipulated coin, very frustrating, and you can't use common sense to judge the bottom, although it should help a bit, as the manipulators won't go against the trend.
Based on the data from the previous few days, you can see for yourself that the long-short ratio has never risen above 1.75. My current view is that below 1.5 is the bottom.
Another method of judgment is the obvious increase in trading volume, as well as a strong bullish trend day candlestick on that day; the lowest point of the previous day or that day can generally be considered the bottom. This method can be combined with the long-short ratio and changes in bullish-bearish sentiment for resonance. If both conditions are met, it can basically be regarded as the bottom.
So the correct trading strategy is to trade on the right side, and not to rush in blindly.