$SOXS in the past 24 hours fell nearly 11%, and the price is at 31.96. Now the funding rate is still positive at 0.00026. The longs are adding to positions while in a losing area, which makes this structure very likely to trigger a chain reaction of long stop-loss orders.

My view is that it will continue to move lower. Only when the funding rate and price move in the same (negative) direction is it a stabilization signal. This combination means the downside momentum hasn’t been fully released yet.

Trade direction: short. Use 5x leverage. Set stop-loss at 33.5 and take-profit at the 30 integer level. Position size: 10%. If it breaks below 30, move the stop-loss to breakeven.

Trading tag: #TradFi #链上美股 #SOXS

Where do you think this set of assumptions is most likely to be wrong?