BTC short squeeze potential

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This one is going to be a bit more about market psychology rather than technical analysis.

I've been seeing a lot of people mention the 50k resistance as being a very big one (psychological resistance of course), and people are expecting a dump after a push to 50k

You have to remember, 95% of traders lose money, meaning if most people are looking at the same level, they are probably going to be squeezed.
This being said, we have a potential short squeeze opportunity if retail starts shorting at 50k, but of course, we won't blindly look for longs.

What I would like to see is a lot of shorts opening at a retest of a support if we get it.
For example we push above 50k, we go for the retest and then a lot of shorts start opening at 50k (support). If we see this happening, this would be a strong long signal.

Of course, never trade biases, trade based on levels.

This is just a potential scenario to keep in mind, if we see rejections at resistance levels, look for shorts, and if we see supports holding, look for longs, simple.

Any questions?

Good luck traders
Remember not to break your rules

Habib

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