【$WIF Signal】1H Oversold Rebound Trading + Negative Funding Rate Short Squeeze Opportunity

$WIF The 1H timeframe has entered an extremely oversold zone (RSI 26.6), with the price showing a brief stabilization around 0.194. The 4H timeframe remains in a downtrend, but open interest (OI) stays stable and has not decreased with the sharp price decline. Coupled with negative funding rates, there is potential momentum for a short squeeze rebound. The current price is not suitable for direct shorting; focus on catching oversold rebound opportunities.

🎯 Direction: Watch (Place buy orders)

⚡ Trigger condition: Price must stabilize above the key resistance on the 1H level and increase volume, confirming a bullish return.

🎯 Entry/Order placement:

- Breakout Buy: Enter at 0.1985 after the price breaks above and stabilizes at 0.1980 (Reason: Breaks through 1H EMA20 and recent minor resistance).

- Extreme Pinning: Price quickly drops to the 0.1900-0.1915 zone, with a buy order around 0.1910 (Reason: Previous support zone and psychological round number).

🛑 Stop-loss: 0.1885 (Reason: Breaks below previous support, invalidating the rebound structure).

🚀 Target 1: 0.2050 (Reason: 4H EMA20 and lower boundary of previous high-volume trading zone).

🚀 Target 2: 0.2120 (Reason: Fibonacci 0.382 retracement level and previous high resistance on the 4H chart).

🛡 Trading management:

- Position size recommendation: Light position (Reason: The 4H trend remains bearish; rebound is a contrarian play with higher risk).

- Execution strategy: Use breakout orders (Buy Stop) or limit orders (Buy Limit). If the price rebounds to Target 1 as planned, reduce position by 50% and move stop-loss to entry price. Remaining position aims for Target 2.

Deep logic: The order book shows heavy sell orders accumulated between 0.1945-0.1955, forming the first hurdle for a rebound. The key is whether volume can break through this level. Stable OI with a sharp price drop, combined with negative funding rates, indicates dominance by bears but also a risk of a short squeeze. The 1H RSI shows a bullish divergence brewing; if a volume-driven bullish candle appears, the rebound could be imminent. The core strategy now is “wait for a clear reversal signal on the 1H timeframe before acting.”

Check real-time market 👇 $WIF

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