For this LUNC move, I had a crystal-clear view yesterday. From the moment it started to when it hit the local top, I was watching the whole time and didn’t miss a beat.

To be honest, this kind of coin is a textbook example of a “dead cat bounce”—it jumps high, but crashes hard too. When the short-term trading hype kicks in, there’s always someone chasing in the altcoin circle, but this stuff never lasts. It’s normal for it to pump for a couple of days and then fizzle out.

The technicals are even more interesting: two trendlines pressing overhead, and recently a bearish engulfing candlestick has popped up. With this combination, the bearish signal is already pretty obvious. My take is that LUNC will likely enter a slow, grinding downtrend next, gradually giving back the gains from the past few days. Waiting for another bounce? I doubt it—the momentum just isn’t there.

At times like this, it’s better to sit on the sidelines than to stubbornly hold on. The market won’t change direction just because of your position.