Cryptocurrency Short Squeeze Opportunities for AVAX and BCH

Saturday, 11 May 2024, 12:53

Bullish diverges indicate trend reversal in two cryptocurrencies, AVAX and BCH, creating potential for short squeezes and hefty price surges. Market optimism in India further boosts the outlook for the following weeks. Traders need to stay cautious due to the volatile landscape, although AVAX and BCH present significant imbalances in the derivatives market.
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Cryptocurrency Short Squeeze Opportunities for AVAX and BCH

Bullish Indicators and Market Outlook

In this context, bullish diverges appeared in the price charts and among notable technical indicators, signaling a trend reversal. This fuels the usual short-squeeze alerts: negative funding rates, short-position volume increases, and leverage liquidations accumulation at higher levels.

India's Regulatory Impact

Moreover, a rising optimism in India with reopened doors for offshore crypto exchanges validates the market potential for the following weeks from a regulatory and fundamental perspective.

AVAX Short Squeeze Potential

Short squeeze alert for Avalanche (AVAX): Avalanche (AVAX) is one of the likely cryptocurrencies to suffer a short squeeze next week, potentially sending its price skyrocketing. Notably, Avalanche's 1-month liquidation heatmap shows a critical liquidity pool at $40 per token.

BCH Price Surge Outlook

Similarly, Bitcoin Cash (BCH) has a notable negative funding rate of 10.06%. Meanwhile, Bitcoin Cash could go as high as $625 after hitting the previous liquidation target of $500 in two short-squeeze events.

However, traders should exercise caution while opening leveraged positions and speculating in this volatile landscape.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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