【$POWER Signal】Short squeeze pullback, 1H level secondary surge

$POWER The 1H level has experienced a significant rally and is now consolidating strongly at a high level, with the price tightly hugging above EMA20(1.6230). This is a typical strong consolidation feature. The 4H level EMA50(0.7623) has diverged significantly, indicating a strong trend, but RSI(1H) at 65.8 remains in a healthy zone, preparing for another upward push. Negative funding rate(-0.6281%) combined with firm price action signals a strong short squeeze. Stable open interest indicates that bulls have not exited. The order book shows significant buy-side depth (buy one to buy three orders far exceeding sell orders), with an imbalance of 18.61%, clearly indicating main force support.

🎯Direction: Long (Long)

🎯Entry/Order: 1.810 - 1.815 (Reason: 1H EMA20 dynamic support zone + current consolidation platform lower boundary)

🛑Stop loss: 1.750 (Reason: Break below current 1H consolidation low + ATR(0.29) below)

🚀Target 1: 1.950 (Reason: Previous high resistance level, also the first target on the 4H level)

🚀Target 2: 2.150 (Reason: 1.618 Fibonacci extension based on recent volatility measurement)

🛡️Trade Management:

- Position suggestion: Light position (Reason: Daily increase has exceeded 100%, volatility is extremely high, risk first)

- Execution strategy: After reaching Target 1, reduce position by 50% to lock in profits, and move the remaining stop loss to the entry price (break-even). If the price cannot hold above the entry zone and quickly breaks down, exit immediately without hesitation.

Depth logic: This is a typical trend-following game after a short squeeze. In a negative funding rate environment, short positions have very high costs, and any stabilization may trigger a new round of short squeeze. The 1H candlestick consolidating above EMA20 with decreasing volume indicates a healthy upward continuation signal. Open interest remains stable at 17.23 million, not decreasing with consolidation, showing that the main bulls are still in the market. Combined with the buy-side depth advantage, the probability of a short-term upward breakout is higher than downward. The key risk is excessive intraday gains, so caution is needed for profit-taking and tight stop-loss enforcement.

View real-time market 👇 $POWER

---

Follow me: Get more real-time analysis and insights on the crypto market! $BTC $ETH $SOL
‍#我在Gate广场过新年 #加密市场反弹