Bitcoin’s current decline is great. What’s one condition for a genuine short squeeze to form? The price has to push up to resistance and then drop sharply. It’s not that resistance can’t be broken. If it really wants to fall, it has to break through resistance first. For example, it might rise to 88,000, pretend to be in an uptrend, and only then fall. At that point, it would be just a little short of 85,000—so why would it drop? That’s why, as I’ve said, a move of 10% in a day is what it takes to create a real short squeeze. So the odds of the Prince starting to make a move at 82,000 are getting higher and higher—a 10% gain in a day!
The more the big players draw lines around the 85,000 range, the more people will short when the price returns to 85,000, the more people will sit on the sidelines, the more people will cut their losses, and the more people will hesitate. Only when these conditions come together will it trigger a genuine breakout.
The more the big players draw lines around the 85,000 range, the more people will short when the price returns to 85,000, the more people will sit on the sidelines, the more people will cut their losses, and the more people will hesitate. Only when these conditions come together will it trigger a genuine breakout.