Many people wonder: Why do shorting altcoins always end up getting slapped in the face?

The answer lies in the insider data of the market makers. When the big players pump the price, retail investors frantically open short positions—these shorts become the market makers’ cash machines. The higher the price goes, the fatter the liquidated margin becomes, so of course, the big players will push the price to the ceiling. When you habitually chase the short and add to your position? A single violent wick wipes you out, and the bears are annihilated.

But the real pain comes after that.

After the price is halved, the dip buyers rush in to catch the falling knife. "It's dropped so much, there has to be a rebound, right?"—but the result is a relentless downtrend with no bottom, trapping the longs until they question their life choices. After one round, once the bears are liquidated, it’s the bulls’ turn to get slaughtered. The ultimate script is a double kill for both longs and shorts.

The essence of the derivatives market? You think you’re betting on trends, but in reality, you’re just serving yourself up to the market makers running the backend.