Update on $AKE scam
Over the last four hours the price ran from about $0.028 to a high of $0.042, up roughly 50%. On the surface it looks like buyers piling in. The data says otherwise.
Open interest went from 1.29 billion coins to 1.34 billion at the peak, then fell back to 1.28 billion. That is a round trip to zero through a 50% move. Nobody new is building a position.
The longs that got in around $0.021 to $0.026 have been cashing out into the rally. Replacing them are shorts, entering around $0.037 to $0.040. You can see it in the ratios: the account long/short ratio dropped from 0.84 to 0.76 as price went up. Funding went from +0.04% one settlement to negative at the next, so shorts are now the crowded side and paying to stay in.
The scam is in the spot market. Spot volume is only around $28 million a day against over $600 million in perps. A market maker doesn't need to buy much coin to move the price. Push the thin spot market up and the perp follows. They never need to hold a big perp position.
So the picture is: a market maker walking the price up on thin spot, early longs selling to them on the way up, and shorts stacking in at $0.037 to $0.040 convinced it will crash. Those shorts are the fuel. Push the price a little higher and they get forced to buy back, which drives it higher still. The 57 million coin drop in OI in the last hour with price holding above $0.039 is likely the first batch of them already getting flushed.
That's why it's a trap right now. Everything about it looks shortable, but the crowd already made that bet, and whoever is running the coin knows it. Shorting at $0.039 means joining the crowd about to get squeezed.
#scam #Binance
Over the last four hours the price ran from about $0.028 to a high of $0.042, up roughly 50%. On the surface it looks like buyers piling in. The data says otherwise.
Open interest went from 1.29 billion coins to 1.34 billion at the peak, then fell back to 1.28 billion. That is a round trip to zero through a 50% move. Nobody new is building a position.
The longs that got in around $0.021 to $0.026 have been cashing out into the rally. Replacing them are shorts, entering around $0.037 to $0.040. You can see it in the ratios: the account long/short ratio dropped from 0.84 to 0.76 as price went up. Funding went from +0.04% one settlement to negative at the next, so shorts are now the crowded side and paying to stay in.
The scam is in the spot market. Spot volume is only around $28 million a day against over $600 million in perps. A market maker doesn't need to buy much coin to move the price. Push the thin spot market up and the perp follows. They never need to hold a big perp position.
So the picture is: a market maker walking the price up on thin spot, early longs selling to them on the way up, and shorts stacking in at $0.037 to $0.040 convinced it will crash. Those shorts are the fuel. Push the price a little higher and they get forced to buy back, which drives it higher still. The 57 million coin drop in OI in the last hour with price holding above $0.039 is likely the first batch of them already getting flushed.
That's why it's a trap right now. Everything about it looks shortable, but the crowd already made that bet, and whoever is running the coin knows it. Shorting at $0.039 means joining the crowd about to get squeezed.
#scam #Binance