Disbelief Squeeze
The Bitcoin market is rallying, and a whole bunch of traders simply don't believe it...and are betting against it with leverage...Good luck with that.
G’day Folks,
Markets are often like a game of chicken, where the bulls and bears bet against each other, hoping the other one capitulates before they do.
The key challenge for the average punter, is our default behaviour in markets rarely gives us the emotional staying power necessary to see a trade through to the end.
I’m sure we have all been there, where you’re trading away on a futures exchange, and you keep trying to time the dip…but the dip keeps on dipping.
Eventually, you get frustrated with losing hand after hand, and you finally capitulate, and decide now is the time to go short…the bears have won…
…only to have your account liquidated as the market rips higher…
If you have lived this experience, you are not alone. In fact, this kind of behaviour is so normal and expected, that we can use it to spot periods of major disbelief in markets.
Today’s post will be a good old fashioned market update, looking across onchain, derivatives, ETF and spot market sectors to analyse whether we have a serious Disbelief Rally on our hands.
📈 Reminder: you can find the charts from our articles on the Checkonchain Charting Website, and a guide in our Charts Tutorial Video.
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