Open the ZEC daily chart, what do you see? An almost uninterrupted downward curve with little room for a rebound. Many people have spotted RSI entering the oversold zone and are eager to buy the dip. But I have to say something unpopular: this decline is far from over, and in fact, it’s the best time to establish short positions.

Why do I say that? Let’s first look at the technical details. This round of ZEC’s decline has a clear characteristic — there are no signs of a decent rebound. The key point is that being in an oversold state does not mean an imminent reversal. This is a common trap for many. When the trend is strong, RSI staying in the oversold zone can last a long time; oversold conditions are just a "brief respite," not a "reversal signal."

Even more painful are the large red candlesticks on the chart accompanied by high volume. This is not a normal correction; it’s a "panic sell-off." Have you noticed? The moments when volume peaks often mark the most desperate capitulation. In plain terms, market participants are frantically fleeing. Entering the market to buy the dip at this point? The risk is no less than trying to catch snowflakes during an avalanche.

But the most telling indicator is the market’s capital flow. The latest data shows continuous outflows in the spot market — over 26 million USDT in net outflows within 24 hours, and nearly 94 million USDT over the past 7 days. What does this set of numbers reflect? The true intent of the market. Against this backdrop of persistent capital fleeing, the risk of going long is extremely high. Short positions are indeed justified.