BTC/USD - Analysis of the current short squeeze
Updated
A sustained, slow short squeeze seems to be going on. Short interest levels have recently been at all time high, similar to 12 April 2018, which saw a massive 1 day blitz short squeeze. But what took 1 day then - or rather just 1 hour - is now a much more drawn-out process. I think the intent of whale market participants behind the current slow squeeze is to turn the market from bear to bull.
So, I made this chart to help me monitor and analyse the current short squeeze.
Have a nice day.
So, I made this chart to help me monitor and analyse the current short squeeze.
Have a nice day.
Note
The vertical orange lines in this chart correspond to the main market turns, derived from the BTC daily price chart. So, these vertical lines are precise, not arbitrary.Note
The 2018 bear market in Bitcoin seems to be turning around and the bottom now seems behind us. The short/long ratio remains very high because shorts are "in denial" about the current rally (high short interest), while BTC price is "climbing a wall of worry" (low long interest).Trade closed: target reached
Today, 31 August, marks the point that short interest has returned to normal levels. So, the short squeeze effect in the market is now completely finished.Trade active
Today a new short trap is in the making. Don't short this early bull phase, it's way too dangerous.
It is all Fibonacci.
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