Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Bitcoin’s price action has shown intense strength in recent days to finally bounce fully from the weakness in late June. After briefly dipping into the low $108,000 range in the past 24 hours, Bitcoin managed to surge to a new all-time high of $112,022. According to data from Coinglass,this move was enough to cause over $470 million in short liquidations across the crypto market.
Bitcoin’s latest price behavior has sparked a shift in sentiment and aligns with the argument that the window for shorting may have officially closed.According to crypto analyst CrediBULL Crypto, it is now effectively “illegal” to short Bitcoin. New Bitcoin Impulse May Have Already Started
Taking to the social media platform X, crypto analyst CrediBULL Crypto noted that it is now illegalto short Bitcoin. This comment comes alongside a 24-hour period of intense price activity, with on-chain data showing a trading volume of $60.15 billion. Related Reading Market Expert Says It’s Now ‘Illegal’ To Short Bitcoin, Here’s Why 55 minutes ago
CrediBULL Crypto posted a detailed chart and technical analysis on X, explaining why he believes shorting Bitcoin is now a dangerous strategy. Notably, his analysis is based on the Elliott Wave count on the 8-hour candlestick timeframe chart. His previous wave analysis reflects two possible scenarios. The first involves a brief rejection above $110,000 followed by a corrective pullback toward the $102,000 zone, an area he highlighted as a key daily demand level. The outcome would be a sideways consolidation before the next major upward impulse. Source: CrediBull Crypto on X
However, he has since acknowledged that Bitcoin may have already begun its next major legup, which is the second scenario. This scenario bypasses the corrective phase in the first scenario entirely. As the analyst phrased it, “there is a non-zero chance that the next impulse up has already begun.” In either scenario, CrediBULL’s commentary stresses that the downside from current levels is limited, and shorting Bitcoin now is equivalent to fightingstrong upward momentum. Why Shorting Bitcoin Now Is A Dangerous Bet
It’s now illegal to short Bitcoin. Not in the literal legal sense, but because Bitcoin’s current structure no longer supports bearish bets. The current setup isone of a continuation above $111,000 in the coming days. If Bitcoin does clear the $111,000 to $112,000 range with enough conviction, it would confirm a vertical rise into wave 3 of a new Elliott impulse cycle. Related Reading Bitcoin Price To See 52% Increase To $166,000, Analyst Reveals Tight Timeline 6 days ago
Interestingly, the price target for this Wave 3 is around $130,000. A correction may follow from that level to form an impulse Wave 4 before Bitcoin enters another strong bullish leg. Then, finally, the most bullish scenario placesBitcoin on a final Wave 5 movement to $150,000.
At the time of writing, Bitcoin is trading at $111,270. The downside is currently limited, and the focus now should be on identifying long opportunities rather than attempting to short what may be the early stages of another explosive rally. BTC trading at $111,112 on the 1D chart | Source: BTCUSDT onTradingview.com Featured image from Pixabay, chart from Tradingview.com