$CGN Why did it fall?

Core reason: The price of CGN has fallen to about 0.003036 USDT, showing a clear downward trend recently, mainly influenced by the macro environment, changes in Federal Reserve policy, and market panic sentiment.
Funds under pressure: The active sell orders significantly exceed the buy orders during critical periods, and the contract funding rate is a negative value (-0.000133), indicating a bearish sentiment in the positions.
Divergence of Long and Short Positions: Although the number of long positions in elite accounts is dominant, the overall long-short ratio has decreased, indicating a lack of upward momentum in the short term.
🎯 Opportunity
News (bearish 📉)
Policy impact intensifies: The Federal Reserve cut interest rates by 25 basis points and announced a halt to balance sheet reduction in December, but the market had already priced in expectations, leading to a complete release of positive sentiment and causing a correction in the crypto market, putting pressure on CGN.
Panic sentiment spreads: The Fear and Greed Index has dropped to the range of 33-34, turning to "fear" in sync with mainstream coins like BTC and ETH, as investors tend to avoid risks, leading to a noticeable selling pressure.
On-chain differentiation data: Similar to the phenomenon of short-term selling pressure on the BTC chain and the differentiation of ETH whale fund flows, the CGN funding situation also reflects a dominance of selling pressure.
Technical analysis (bearish 📉)
Short-term weakness: CGN's KDJ has fallen from a high level on the 15-minute and 1-hour charts, and the price continues to stay below multiple period moving averages.
Bearish trading tendency: In the past few hours, the active selling amount of CGN has repeatedly exceeded the buying amount, and the large order capital flow indicates strong bearish strength.
Elite account position changes: Although there is a 3.36-5 times advantage in the number of long positions, the long-short ratio has decreased in recent hours, similar to the short-term trends of SUI and ADA, indicating a weakening of buyer confidence.
🚨 Risk (High🔴)
Macroeconomic Uncertainty: There are still significant differences in the future policy stance of the Federal Reserve, and a stronger dollar may further suppress crypto assets.
Continuous capital outflow: Active selling volume is increasing, and if this continues, it will trigger more stop-loss sales.
Technical breakdown: If the price fails to hold the local support, similar to the recent rapid declines of SOL, DOGE, etc., it may exacerbate the fall.
⚡ Action (fall📉)
Trading pairs and current price
CGN/USDT: Currently about 0.003036 USDT
Short-term strategy
Operation Direction: Short Selling 📉
Entry range: 0.003050-0.003080 (Position 40%)
Stop loss points: 0.003120 (40% position), 0.003150 (60% position)
Take profit levels: 0.002980 (position 50%), 0.002940 (position 50%)
Medium to long-term strategy
Operation Direction: Cautiously go long 📈 (buy on the dip against the trend, need to confirm stabilization)
Entry range: 0.002900-0.002950 (position 30%)
Stop loss levels: 0.002850 (position 50%), 0.002800 (position 50%)
Take profit levels: 0.003100 (40% position), 0.003160 (60% position)
Comprehensive Strategy
In the short term, focus on defense, combining the support structures of popular cryptocurrencies BTC, ETH, and SOL to determine the market rebound rhythm; if mainstream coins stabilize, CGN can accumulate small positions at low levels, while also paying attention to the on-chain capital movements of XRP and ADA to validate the recovery of market risk appetite.
📚 Summary
The fall of CGN is the result of a combination of macroeconomic bearish factors and market panic. The funding situation is bearish and technical indicators are weak. In the short term, we should focus on defense and wait for popular coins to stabilize and boost market sentiment before considering increasing positions. Remember — in a bear market, cash is your shield, and patience is your long sword.

CGN
$0.00308
‎-11.58%