🚨 Attention! - $BTC up to $70,000
Although it seems unlikely, BTC 🔻 can fall to the $69,000 - $70,000 zone. Many times the price of an asset can retrace to the first red candle before it has started its upward trend (see chart below). If this retracement were to happen, it would be the last shake to the tree before the price decides to seek new highs.
When an asset consolidates for too long, it usually happens for a few reasons:
1. There is no interest from market operators in selling the asset due to expectations that it will continue to rise.
2. The accumulation of LONGs is delaying the rise. The liquidation algorithm will drop the price until it clears 95% of traders.
Otherwise, a short squeeze may occur.
What is a SHORT SQUEEZE?
It is when the price of an asset suddenly and significantly rises, forcing traders who have short positions (shorts) to cover their losses. This generates greater buying pressure and, consequently, an even greater increase in price.
How does a short squeeze work?
1. Short positions: Traders who open a short position bet that the price of the asset will fall.
2. Unexpected rise: If the price of the asset rises instead of falling, short traders start to lose money.
3. Loss coverage: To limit losses, these traders close their positions by buying the asset, i.e. BTC, which increases demand and drives the price even higher.
4. Chain effect: This cycle can attract other buyers, exacerbating the increase in price. 👈
Finally, the coordination of a massive purchase would lead to a historic short squeeze, causing huge losses to traders who have bet short.
All that remains is to wait. Without further ado...
Greetings and success in your operations! 😔🙏