No Long Squeeze This Bitcoin Cycle, What Does it Mean?

Ki Young Ju, the founder and CEO of blockchain analytics platform CryptoQuant, observed that while the last Bitcoin (BTC) cycle saw several long squeezes; the current one has not. A long squeeze occurs when the price of an asset declines, forcing long position holders to liquidate their assets to prevent further losses, accelerating the price […]

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No Long Squeeze This Bitcoin Cycle, What Does it Mean?

  • CryptoQuant CEO highlighted that the last Bitcoin cycle saw four long squeezes.
  • However, Ki Young Ju confirmed that this cycle hasn’t seen any long squeeze.
  • Two short squeezes at $66,000 happened in the current cycle.

Ki Young Ju, the founder and CEO of blockchain analytics platform CryptoQuant, observed that while the last Bitcoin (BTC) cycle saw several long squeezes; the current one has not.

A long squeeze occurs when the price of an asset declines, forcing long position holders to liquidate their assets to prevent further losses, accelerating the price decline. Young Ju noted that four long squeezes occurred at $55,000 in the previous Bitcoin cycle.

Conversely, the current Bitcoin cycle has seen two short squeezes around $66,000. A short squeeze happens when the price of an asset increases, forcing short sellers to buy back their positions to prevent losses, driving the price even higher.

The CryptoQuant CEO stated on X (formerly Twitter) that the long/short squeeze ratio is a critical indicator of potential cascading liquidation events. This ratio, calculated as the ratio of hourly liquidation volume to the total taker volume, helps assess the ma…

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