【$PROVE Signal】Short | Massive Volume Surge Fails and Retraces

After a massive volume spike on the 4-hour chart producing an extremely long upper shadow, the price continues to decline, and buying momentum weakens. The current price is tightly hugging the short-term moving average, with heavy sell walls above (0.3304-0.3306), and the funding rate is significantly negative (-0.3273%), indicating strong bearish sentiment. This is a typical retracement structure following a bull trap.

🎯Direction: Short

🎯Entry: 0.3290 - 0.3310

🛑Stop Loss: 0.3360 $PROVE Rigid Stop Loss(

🚀Target 1: 0.3180

🚀Target 2: 0.3050

Hardcore Logic: The 4H candlestick shows that after the initial massive surge (0.2984→0.3918), three consecutive candles have lower highs and lower lows, indicating a clear downtrend. Open interest remains high during the decline, driven by active short positions. The order book shows nearly 9,671 sell orders above 0.3304, forming immediate resistance. The price has broken below the midpoint of the massive volume candle (~0.344), retracing over 50% of the rally, confirming the bulls are exhausted. Statistically, retracement targets after a volume spike with a long upper shadow often look toward the initiation zone (0.296-0.305).

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