Everyone has noticed, right? With each upward move by power, the survival space for the bears is being severely squeezed, leaving almost no room to breathe.
When the short positions above are fully cleared, it will immediately enter a consolidation or deep correction phase. This pattern has repeated many times, and we should learn from it and try to follow the trader's strategy. Based on past experience, it’s clear that the market makers want to swallow not only the shorts but also those longs with poor position management and weak resolve. And shorts remain the main target for the market makers because this group is like grass—impervious to wildfires and regrowing after spring breezes. Market makers have endless fuel, so the risk of a collapse naturally decreases. After all, the higher the price goes, the more valuable their chips become. A sharp short squeeze is definitely a win-win and risk-free trade. Therefore, if you haven't entered a short position at the current optimal level—above $2—don't chase shorts at any lower levels. If the market maker initiates a new wave of rally and breaks through the previous high, the higher your entry point, the greater your chance of getting out. Conversely, the opportunity will be more limited in the short term, depending on the extent of the price correction. During the correction phase, finding a good entry point is more reliable than blindly shorting.
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Everyone has noticed, right? With each upward move by power, the survival space for the bears is being severely squeezed, leaving almost no room to breathe.
When the short positions above are fully cleared, it will immediately enter a consolidation or deep correction phase.
This pattern has repeated many times, and we should learn from it and try to follow the trader's strategy.
Based on past experience, it’s clear that the market makers want to swallow not only the shorts but also those longs with poor position management and weak resolve.
And shorts remain the main target for the market makers because this group is like grass—impervious to wildfires and regrowing after spring breezes.
Market makers have endless fuel, so the risk of a collapse naturally decreases. After all, the higher the price goes, the more valuable their chips become. A sharp short squeeze is definitely a win-win and risk-free trade.
Therefore, if you haven't entered a short position at the current optimal level—above $2—don't chase shorts at any lower levels.
If the market maker initiates a new wave of rally and breaks through the previous high, the higher your entry point, the greater your chance of getting out.
Conversely, the opportunity will be more limited in the short term, depending on the extent of the price correction.
During the correction phase, finding a good entry point is more reliable than blindly shorting.