FOLKS experienced intense volatility in the past hour, dropping straight from 3.94 to 3.39, a decline of over 15%. Many people, seeing this trend, immediately think of selling off, fearing to step on a landmine. But if you cut your losses now, you're actually taking the knife from those funds that already have prior knowledge.

From a technical perspective, the 1-hour candlestick chart shows clear signals. The price directly broke through the lower band of the BOLL and the short-term support level at 3.55. The MACD also showed a death cross, with the green histogram reaching recent extremes. At first glance, it does look like a fierce bearish momentum. However, the key is on-chain data: the two large sell orders over 400,000 tokens from an hour ago have already been completed. The current selling pressure mainly comes from retail panic orders. This is a typical pattern of institutions offloading early while retail investors are driven by emotion.

On the news front, some information has also been revealed. The project team’s announcement the day before yesterday about "integrating a major DEV4 next week" was quietly deleted by the official. Such actions usually indicate that funds are already fleeing in advance. But don’t be too pessimistic. I’ve been tracking FOLKS’ distribution of holdings. The range between 3.28 and 3.32 is the main accumulation zone for major players earlier, making it hard to imagine this level being easily broken.

If you want to participate in this wave, my advice is to patiently wait for two signals: first, the MACD green histogram shrinks to less than one-third of its current size; second, the price pulls back to 3.30 but doesn’t break further. When these two signals appear, you can try a half position first. If it breaks below 3.25, that’s basically the last shakeout by the main players. Going all-in at that point could actually be a good opportunity.