🚨 US plunged 21.3% in 24 hours, then dropped another 5.3% in just 5 minutes. This isn’t an ordinary pullback—the bearish sentiment has taken over completely!
But here’s the interesting part: trading volume surged to 4.7 times its usual level, while OI fell 6.4%; retail traders are 3 times more bearish than bullish over the past 24 hours, and the market is still cooling off. Price, volume, and open interest are sending dangerously conflicting signals.
📊 What does this mean? More and more people are bearish, so the price could indeed fall further. But if short positions get too crowded, 109 long whales holding $7.09 million could trigger a sudden short squeeze. The biggest risk isn’t being wrong—it’s chasing the move at peak sentiment.
My take: short-term outlook is bearish, but don’t blindly chase shorts! A continued price decline accompanied by persistent bearish sentiment would confirm the downtrend. If the market rebounds sharply after shorts become overcrowded, watch out for a bullish counterattack that could wipe out late short sellers.
Will US keep crashing, or will we get a short squeeze first? 👇
#US #shortsqueeze
But here’s the interesting part: trading volume surged to 4.7 times its usual level, while OI fell 6.4%; retail traders are 3 times more bearish than bullish over the past 24 hours, and the market is still cooling off. Price, volume, and open interest are sending dangerously conflicting signals.
📊 What does this mean? More and more people are bearish, so the price could indeed fall further. But if short positions get too crowded, 109 long whales holding $7.09 million could trigger a sudden short squeeze. The biggest risk isn’t being wrong—it’s chasing the move at peak sentiment.
My take: short-term outlook is bearish, but don’t blindly chase shorts! A continued price decline accompanied by persistent bearish sentiment would confirm the downtrend. If the market rebounds sharply after shorts become overcrowded, watch out for a bullish counterattack that could wipe out late short sellers.
Will US keep crashing, or will we get a short squeeze first? 👇
#US #shortsqueeze