Michael van de Poppe, a widely followed crypto analyst, pointed to short selling positions in the Bitcoin and altcoin market. He shared his expectation of a rally fueled by short selling positions for the three cryptocurrencies in particular. Here are the details…
Altcoin analyst details short selling prospects
Crypto strategist Michaël van de Poppe quoted a tweet by financial researcher Jason Goepfert. Then, he shared his thoughts and conveyed the expectation of “short squeeze” in the market. According to Goepfert, retail traders spent $18 billion on put options. It also recorded $46 billion short selling in futures. According to the data, both are breaking records. Van de Poppe says the record-breaking open interest in traditional markets is actually a bullish signal.
The analyst points out that a “short squeeze” came as a result of the intensification of short selling. A short squeeze is an unusual event that triggers skyrocketing prices on an asset. Occurs when an asset has significant short-selling investors. cryptocoin.com As we have reported, this means that many traders are betting on a decrease in price. A short squeeze starts when the price unexpectedly rises. The asset gains momentum when a significant portion of short sellers decide to cut losses and exit their positions.
Has short squeeze happened in Bitcoin?
Van de Poppe predicts a rally in traditional markets. On the other hand, he said that he expects Bitcoin (BTC), the largest cryptocurrency, to do the same. Currently, the value of Bitcoin has exceeded $20,000. Therefore, the short squeeze that the analyst was waiting for seems to have come true. Michael van de Poppe’s tweet includes the following statements:
Bitcoin held the critical area around $18,500 and is now looking to break out of this range. After another test of $19,500 (probably Monday) we’ll be ready to go. A crucial hurdle to hold stands at $18,500.
Analyst watches Ethereum and Chainlink closely
Next, Van de Poppe talks about Ethereum (ETH), which he says has managed to hold support at $1,200. According to the analyst, the movement of ETH, which was previously at the support area, is quite interesting. He expects the altcoin to test the area between $1,425 and $1,450. At the time of writing, ETH is changing hands at $1,383, pretty close to the levels pointed out by the analyst.
The crypto analyst is also closely watching the decentralized oracle network Chainlink (LINK). According to Van de Poppe, LINK will experience a short-term pullback before igniting the next leg. The analyst states that the levels he watches for LINK are $ 12-15. He states that $ 8 will be tested, and support is around $ 7. LINK is changing hands at $8.23, up 7.1 percent at the time of writing.
Contact us to be instantly informed about the last minute developments. twitter‘in, Facebookin and InstagramFollow and Telegram and YouTube join our channel!
Disclaimer: The articles and articles on Kriptokoin.com do not constitute investment advice. Cryptokoin.com does not recommend buying or selling any cryptocurrencies or digital assets, nor is Kriptokoin.com an investment advisor. For this reason, Kriptokoin.com and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, assets or services in this article.
Warning: Citing the news content of Kriptokoin.com and quoting by giving a link is subject to the permission of Kriptokoin.com. No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of Kriptokoin.com in violation of intellectual property law and relevant legislation.