Bitcoin shorts lack the “ball” to continue to sell until 2022-Analyst

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Bitcoin (Bitcoin) The new BTC price analysis believes that the short position may be too “boneless” to keep the price down for a longer period of time.

in a Twitter series The popular account Light released on December 18 summarized the events that led to the recent 39% of Bitcoin’s callback.

Sheep in bearskin

Light explained that the combination of macro factors and the smart actions of big players allows retail investors to hold both Bitcoin and altcoins.

This is obvious before the accelerated fall from $69,000 to December Liquidation cascade -Smart money knows that such a level is unsustainable, and reacted accordingly.

The account read: “25% of derivatives OI are closed or liquidated. Billions of dollars in losses. If people were cautious before, they are now appropriate to avoid risks.”

“Those who didn’t notice the market news a month ago are now starting to panic more quickly.”

However, after bottoming out and staying below $50,000, there are new reasons to choose

Those early sellers are now starting to find another way, while BTC/USD is firmly supported, and interest in Bitcoin is returning.

“Although the bulls have been cautious, the bears have adopted aggressiveness, pushing the permanent basis to be negative and establishing OI in certain venues, while the large players who depreciated in the $60,000 area have changed directions and started to absorb panic and short selling. “Huang continued.

“The fund may have completed (or close to) the structured selling flow and cashed out, and now it will consider another way of operating ahead of schedule, that is, buying inflows in January.”

Despite different claims, the future of Bitcoin bears may not be as “exciting” as it was at the beginning of this month.

“These bears will most likely become stoneless soon,” Wright concluded.

BTC/USD chart, except for showing trader position data.Source: Light/Twitter

Will altcoins ruin the party?

It is altcoins that put the potential spokes on the wheels, and they will continue to be distributed throughout 2021 after receiving substantial gains.

related: Happy “bear market”, Bitcoin: 3 years have passed since BTC bottomed out at $3.1 million

However, in the short term, ether (Ethereum) Continue to “drive the market”, Cointelegraph writer Michaël van de Poppe debate this week.

However, even here, the trend is changing with the data show Bitcoin’s dominance is waning.

“Many altcoins have fallen 80% since the May high. They are also at or near higher time frame support levels,” Van de Poppe Tell Twitter fans.

“The sentiment in the entire market is very pessimistic. I am buying in large quantities. How about you?”

Bitcoin market capitalization advantage 1-chart. Source: TradingView