I putted some circles around areas that Bitcoin shorts and longs ratio come to a point that make a unbalance force between bulls and bears.
as you know market is the power translation of supply and demand or simply buyer and seller. any other fundamental data is being translated to these two things.
people have two options to buy or to sell! we either!
when these forces are balanced we are at a state that we call equilibrium. but when these forces are unbalanced we should expect price to move to a direction in which majority of trader lose their money. so in this exact situation 60% of people are short so we should long.
have fun.
as you know market is the power translation of supply and demand or simply buyer and seller. any other fundamental data is being translated to these two things.
people have two options to buy or to sell! we either!
when these forces are balanced we are at a state that we call equilibrium. but when these forces are unbalanced we should expect price to move to a direction in which majority of trader lose their money. so in this exact situation 60% of people are short so we should long.
have fun.
Comment:
We had a tremendous decline in shorts yesterday. It means people are getting more bullish. The ratio is 33 percent!