BlockBeats News, June 7th - Leverage product researcher degentrading stated that the Hong Kong-listed leveraged fund doubling down on Samsung Electronics (7709.HK) will need to forcefully sell about 2 million shares of SK Hynix as the South Korean stock price plummeted significantly last week. This sell order size is equivalent to 40% of SK Hynix's normal daily trading volume, creating substantial and mechanistic selling pressure. Moreover, the leverage product's gamma effect may cause a price decline to trigger more selling pressure, potentially setting off a chain reaction.

degentrading believes that the South Korean stock market will face intense downward pressure on Monday and boldly predicts that after the US stock market opens on Monday, EWY (iShares South Korea Stock ETF) may fall to $145 (current price $175). degentrading acknowledges that this prediction may be "a bit crazy," but the core logic is that the passive rebalancing sell-off of leveraged products will dominate the market, resulting in a short-term extremely bearish view on the South Korean semiconductor sector and the overall stock market, particularly focusing on the amplification effect and liquidation risk brought by leverage tools such as the double-long Samsung Electronics (7709.HK).