$ADA Signal】1H level oversold rebound trading, watch for short squeeze possibility under negative funding rate



$ADA The 1H level is oscillating within the 0.2748-0.2773 range, RSI(1H) has entered the oversold zone (40.96), while the 4H level is in a clear downtrend channel, but the price is approaching the lower boundary of the channel. Key signals: funding rate -0.0171% (negative), and open interest (OI) remains stable, indicating that short positions are accumulating. Once the price stabilizes, a short squeeze rebound is highly likely. The buy depth around 0.2750 on the 1H chart is unusually thick, forming an invisible support.

🎯Direction: Long (Long)

🎯Entry/Order: 0.2755 - 0.2760 (Reason: 1H EMA20(0.2780) is below, with strong support at the price level 0.2750-0.2760, playing a game of oversold rebound)

🛑Stop Loss: 0.2738 (Reason: Break below recent 1H low of 0.2747 and the dense support at the lower edge of the order book, stop-loss range about 0.8%)

🚀Target 1: 0.2795 (Reason: 1H EMA20 resistance and the first resistance level on the 4H chart)

🚀Target 2: 0.2820 (Reason: Previous high on the 4H chart and the pressure at the upper boundary of the downtrend channel)

🛡️Trade Management:

- Position suggestion: Light position (Reason: The 4H trend remains bearish, this is a rebound game against the small trend and the larger trend, with higher risk)

- Execution strategy: After reaching target 1, reduce position by 50% and move stop-loss up to entry price 0.2760. Hold the remaining position to target 2. If the price cannot stabilize above 0.2780 (1H EMA20), exit all positions.

Depth logic: The core contradiction in the current market is the divergence between negative funding rate and falling price. Stable OI indicates it is not a large-scale long liquidation crash, but more like main force suppressing the price to absorb positions. The 1H RSI bottom divergence has already appeared; if the next 1H candle closes bullish and stays above 0.2770, it will confirm short-term rebound momentum. Market depth data shows buy orders (0.2745-0.2760) are much thicker than sell orders (0.2765-0.2780), indicating solid support below. This is a short-term sniper trade based on microstructure imbalance and negative funding rate short squeeze logic.

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