Just a piece of advice here for people trying to buy the dip
When we see liquidations of this magnitude, there’s a couple of things that often happen:
1) The classic v shape reversal higher only really happens in a perp driven cascade due to high funding rates in a structurally bullish trend
2) During major wipeouts like this, we typically see the main move down, and then settle like 40% above wherever the bottom wick was. Then a small bounce from shorts covering, and then chop around for a while
3) we then typically see a retest of that bottom wick from the initial cascade in the coming days
I say all that to say: take a deep breath. You don’t need to throw everything in one big hero trade. You will have plenty of time to buy this wipeout and capitulation.
Hope everyone’s doin alright!