$JCT
Don't rely on this drop and assume it's a price correction.
However, you may be able to spot good signals for a sell trade that takes advantage of this temporary correction. Then, when the price rebounds, open a buy trade at the same price as the sell trade, with stop-loss orders enabled for both positions. This way, you can ensure you won't be liquidated, and you'll also have put a hedging position in place.
This maneuver gives you a little more control, helping you figure out what is likely to happen. Based on that, you can decide on your direction and strategy.
As for what I think should be closed first, and what to focus on, it's making the most of your spot position and closing it in two stages to benefit from this rise. It's preferable to sell in two stages. This strategy reflects current market sentiment.
Things generally tend to move toward a correction, and this is what distinguishes shorting from spot trading in situations like these.
Try this strategy with a small amount in cross-margin trading.
Then draw some other ideas from it.
Don't rely on this drop and assume it's a price correction.
However, you may be able to spot good signals for a sell trade that takes advantage of this temporary correction. Then, when the price rebounds, open a buy trade at the same price as the sell trade, with stop-loss orders enabled for both positions. This way, you can ensure you won't be liquidated, and you'll also have put a hedging position in place.
This maneuver gives you a little more control, helping you figure out what is likely to happen. Based on that, you can decide on your direction and strategy.
As for what I think should be closed first, and what to focus on, it's making the most of your spot position and closing it in two stages to benefit from this rise. It's preferable to sell in two stages. This strategy reflects current market sentiment.
Things generally tend to move toward a correction, and this is what distinguishes shorting from spot trading in situations like these.
Try this strategy with a small amount in cross-margin trading.
Then draw some other ideas from it.