After analyzing the on-chain data of the $FOLKS project, the core issue lies in the token holding structure. The project team controls 93.56% of the tokens, while airdrops only account for 6.44%. Such a distribution inherently carries risks.

In terms of pricing, the project team sets the price themselves, with daily fluctuations reaching up to 200%. While it may seem very hot, most of the liquidity behind this comes from funds that were liquidated and forced out, which is something to watch out for.

My own lesson is the most authoritative—if you can't see clearly, blindly placing orders is risky. I ended up getting liquidated after going short, and I accept that. The key issue is that these kinds of projects can rise without resistance; the ascent is very smooth. But once you want to get off, it's difficult to do so. No matter how quickly you add to your position, the pullback opportunities are scarce. In the end, you either have to cut losses forcibly or bet with very low leverage. I think even with just 1x leverage, it's easy to get wiped out in such a liquidity environment.

Long and short positions still depend on your own research, but the risk structure of this project is worth being cautious about.