Possible BTC short squeeze?
Possible BTC short squeeze?
Hey all,
Bitcoin’s hitting new highs with strong buying volume but the 24-hour long and short data shows retail traders are mostly short while whales stay heavily long. Since retail is mostly short here my guess is we’re probably getting shafted as usual. If BTC holds support and funding rates turn favorable there could be a short squeeze that pushes prices higher but history tells me retail often gets caught on the wrong side.
Retail shorts get squeezed hard when prices move against them but retail longs can also get hit if whales start unloading or the market turns. Either way retail traders will most likely end up on the losing side because they don’t have the same information or patience as the big players.
What are your thoughts?
What do the options and derivatives markets say? Are we in contango? Is the carry trade back on? What does the close look like for the month.
Institutions go long and short simultaneously and make money on the yield from that spread.
There is also an options and derivatives market that is almost as big as the total alt market. If nobody is speaking to it, then they don’t know what’s going on.