Is it better to go short than to airdrop? The Ultimate Guide to Short Selling Before a Coin Launches

Original source: The Smart Ape

$ZRO, $ZK, $STRK airdrop = thousands of dollars.

Sell before launch = Earn more!

Here’s the ultimate guide to shorting

tokens before launch!

For several months, there has been a lot of hype before the market.

The new protocol makes it possible for people to get early access to the token before it is launched.

But what many people don’t know is that you can also short these tokens before they are listed! That's what to do now!

When a new token comes before the market, very little is known about its token economics and people usually tend to go long.

This is the case with almost all big releases recently: $STRK, $ZRO, $ZK$W, etc.

Shorting $W would result in a 4x gain at launch and a 9x gain so far.

$ZRO: 2x at launch, 3x so far

• $ZK: 6x at launch, 20x so far

• $STRK: 1.25x at launch , 3x so far

• Let’s look at how to short before the market.

Here are the platforms where you can short before the market:

@Bybit_Official

• @kucoincom

• @gate_io

• @bitgetglobal

• @WhalesMarket

• Browse them to find the best deals, you'll usually find them on WhalesMarket.

Short:

Go to the "Pre-Market" page

• Select the token you are interested in

• Browse the "Sell" column

• To go short, you need to go short at the highest price. Therefore, you need to look for the highest price offer, unlike longs who look for the lowest price to buy.

(see video for details)

You will see many offers; you can accept the offer completely (click "Sell") or partially (click "Part").

• Connect Wallet

• Deposit Collateral

• Fill In Quote

Now you know how to short before the market!

(see video for details)

By shorting this way, your collateral will be locked until release.

To confirm your profit (assuming you shorted 50,000$BLAST USD):

• After publishing, buy 50K$BLAST from the market

• Repay the loan to recover your profit and collateral

Short selling may be harder to understand than long selling.

Mechanism:

• Deposit collateral (usually $ETH)

• Borrow tokens to go short and sell them immediately at market price

• Close the short position and take it from the market Buy tokens, return tokens, take back collateral

A few months ago, I shorted $BLAST on WhalesMarket at $4.6. $BLAST has just been launched and we have very little information on the token economics. Today it’s around $0.046, which means I’ve made a 100x gain so far!

The price may drop further after launch.

When short ?

The sooner the better.

Prices are usually higher in the beginning and decrease over time.

After launch, prices usually drop more. We can see this well in the chart below, showing the significant difference between the start and end.

My strategy is to monitor listings before listing. I then evaluate FDV based on similar projects that have been launched.

The only information left is the total supply. This isn't always known, but you'll be the first to know on X.

Once you know these elements, you can evaluate the fair price of a token by calculating: FDV / Total Supply.

If the pre-market price is higher than this price, you can use the above method to short. You'll find that premarket prices rarely go below this price unless it's at the end of the market.

This opportunity is not known to the public yet, but you know how it goes: the longer time passes and the more people discover it, the harder it becomes to make money with it.

To get the upper hand, start now, with the next token traded pre-market.

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