I don’t know if you have noticed that there is actually a huge arbitrage space in pre-market trading. Even a giant like Binance launched pre-market trading in October. Although the scroll project is rubbish, this new way of pre-market trading is worthy of everyone’s attention.
First of all, there are fewer people participating in pre-market trading and prices often fluctuate greatly. Because of the higher volatility, there is room for selling high and buying low, or even just selling high.
The second point is to lock in delivery. This feature can actually allow many retail investors to control their hands and no longer contribute to transaction fees after placing orders rationally.
With these two characteristics and if you have a certain understanding of a project, you can start to think about something here.
Let me take $memefi and $major on a certain bg exchange as an example. These two coins are considered to be small games and meme coins in the TON ecosystem. Now the prices and valuations of these two coins are quite reasonable, only tens of millions. There was a period of time before, but the valuation reached 400 million US dollars.
You have to know that these two projects cannot be listed on Binance. When $CATI and $HMSTR were at their peak, their valuations were only 1 billion US dollars. If a project cannot be listed on Binance, its valuation will be cut several times. Moreover, each hot topic only has a certain period of time.
So to sum up, the market value of memefi and major at $400 million is definitely high. So what can you do when you see such a high project valuation? - Short sell.
So when the valuation of the two projects was more than 300 million, I used all the USDT I could raise to short sell them. Now the valuations of the two projects are only tens of millions, which basically doubles the income.
If you are afraid and worried, there is another trick. That is to buy in. If you have already sold at a high price, buy it at a low price. Taking these two projects as an example, the current price corresponds to a market value of 70 million US dollars, which is actually a relatively reasonable valuation. Then you can buy it and completely lock in profits without waiting for the opening.
This is actually an entry-level pre-market trading method, but it can already make stable profits and lock in profits. However, you need to make sure that you have a certain understanding of the project and roughly know the reasonable valuation range of the project.
