đšChanges in Bitcoin's Liquidity Dynamics
In recent days, the liquidity dynamics of Bitcoin have undergone a significant transformation, with increased interest in Short positions on exchanges. This contributed to the recent Short Squeeze! The maximum pain for bears has already occurred and could extend up to $67k or more.
With the liquidation of a substantial portion of Short positions, we now have a greater concentration of liquidity in Long positions. Historically, when Longs dominate, the price tends to fall in the following days. Conversely, when Shorts start to dominate, the price tends to rise.
This dynamic is complex and highlights a concerning statistic: between 80% to 90% of traders will end up being liquidated in the medium term!
đStay alert to market movements!
Alphractal
