【$AVAX Signal】Short Squeeze: No rebound strength, continuing to explore lower levels

$AVAX 1H level rebound confirmation failed, the price is firmly suppressed below the moving average. An hour ago, a large-volume bearish candle directly broke through 9.29, instantly piercing the buy-side depth, with sell orders stacking above 9.26 forming a resistance wall. RSI on the 1H chart dropped to 18, entering an extreme oversold zone, but the rebound strength is weak, a typical downtrend continuation pattern.

🎯Direction: Short

⚡Entry: Enter immediately around the current price of 9.257

🛑Stop Loss: 9.45

🚀Target 1: 9.00

🚀Target 2: 8.75

🛡️Trade Management:
- Execution Strategy: When the price reaches 9.00, reduce position by 50% to lock in profits, and move the remaining stop loss down to the entry price. If the price rebounds to around 9.35 and stalls, consider adding to the short position.

Order book data shows that sell-side depth is far greater than buy-side, with an imbalance ratio exceeding 17%, indicating very weak willingness for support. Open interest remains stable and does not decrease with falling prices, suggesting short-term confidence remains firm and there is no panic liquidation. In this environment, the oversold indicator’s failure probability increases, and it’s not advisable to bottom fish before momentum exhausts. The current risk-reward ratio is close to 2.5, making risk manageable.

View real-time market 👇 $AVAX
---
Follow me: Get more real-time analysis and insights on the crypto market! $BTC $ETH $SOL