DUSK's current market situation, to be honest, is a back-and-forth struggle between the bulls and bears on a knife's edge. Prices are experiencing sharp fluctuations, and contract traders are watching in confusion. Some analysts categorize it as a meme coin prone to large-scale liquidations. The current liquidation heatmap shows that if prices continue to decline, the main positions being broken will be the long positions. How should we interpret this market condition? How to trade?

First, let's talk about why the volatility is so fierce. On the surface, it appears to be technical overbought, but more importantly, the overall market sentiment is changing. When geopolitical tensions tighten, traditional safe-haven assets like gold and silver hit new highs, and funds naturally flow out of high-risk assets. Although the privacy sector has its own stories, the overall crypto market cannot escape this environment — Bitcoin is still struggling around $92,000. Meme coins like DUSK, which have surged so sharply, naturally become one of the preferred targets for fund withdrawals, further amplifying the pullback.

Looking from the perspective of short squeeze, it’s a very subtle game of strategy. On one side, there are a large number of leveraged long positions stacked at high levels, which could be liquidated at any moment; on the other side, these potential liquidation orders form a "trigger point." If the price breaks through a strong support level (such as the previously mentioned 0.176), these forced long liquidations will turn into a market booster. Conversely, shorts should also be wary of being squeezed in the opposite direction. At such times, patience and precise identification of support and resistance levels are much more reliable than blindly chasing gains or cutting losses.