Honestly, looking at the contract data just now, I noticed something interesting with $COW : open interest rose by 50.1% over 24 hours, while the price fell by 17.21%.
Adding to positions as the price drops probably means short sellers are pushing the price down. But I’ve also seen plenty of cases where an overcrowded short position gets squeezed by a sudden spike, so in situations like this, I neither chase the shorts nor rush to buy the dip.
Do you have anything related in your portfolio?
Adding to positions as the price drops probably means short sellers are pushing the price down. But I’ve also seen plenty of cases where an overcrowded short position gets squeezed by a sudden spike, so in situations like this, I neither chase the shorts nor rush to buy the dip.
Do you have anything related in your portfolio?
