Viewpoint: Neocloud and the memory sector have seen positions cleared out; pullbacks often present the best buying opportunities

BlockBeats reported on July 3 that well-known analyst degentrading noted the market continues to face persistent sell-offs. Within the Neocloud sector, IREN and CIFR are leading the decline, while memory stocks—considered the “ultimate momentum factor”—have not been spared, with Micron (MU) falling below the $1,000 mark, reminiscent of its price movement following its last earnings release. Meta (META) has also given back some of its earlier gains, as the market calmly evaluated the substance of its planned initiatives, dampening previous expectations.

degentrading believes that this type of position liquidation is usually intense and rapid, and does not feel capable of accurately timing the “absolute bottom.” However, they emphasize this is precisely why investors should conduct their own in-depth research. Only by doing so can one maintain strong confidence when market capitalization volatility intensifies. degentrading also cautions that leverage tools are not suitable for long-term holding and are best used for short-term trading over a few days, otherwise, there will be volatility decay. Investors are advised to ensure they can withstand pullbacks; although position liquidation is brutal, it often provides the best opportunities for building positions.