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covering a short position pepe unchain Bnb Eth XRP crypto futures coinbase futures binance futures
Short selling involves borrowing shares to sell them immediately, expecting their price to fall. Short covering occurs when short sellers buy back shares to return them, which may drive up prices. A short covering rally refers to a sharp price increase due to short covering. Short sellers must cover their position when they believe prices will rise, or at a set time, such as at the end of a trading day or month. Short selling allows investors to profit from falling prices.

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Risk warning: Digital asset trading is an emerging industry with bright prospects, but it also comes with huge risks as it is a new market. The risk is especially high in leveraged trading since leverage magnifies profits and amplifies risks at the same time. Please make sure you have a thorough understanding of the industry, the leveraged trading models, and the rules of trading before opening a position. Additionally, we strongly recommend that you identify your risk tolerance and only accept the risks you are willing to take. All trading involves risks, so you must be cautious when entering the market.

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