【$OM Signal】Short squeeze continues, 1H strong consolidation, targeting a second surge

$OM The 1H timeframe has entered a strong sideways consolidation after a massive rally, with the price staying close above the EMA20(1H), refusing a deep correction. A single massive bullish candle on the 4H chart has directly reversed the downtrend. Currently, open interest (OI) remains stable, with a high negative funding rate of -0.18%, indicating strong expectations of a short squeeze. This is a typical violent rebound structure of a hot coin; pullbacks are opportunities.

🎯Direction: Long (Long)

🎯Entry/Order: 0.0608 - 0.0612 (Reason: 1H EMA20 dynamic support zone and the dense area of the previous hour’s low points)

🛑Stop Loss: 0.0595 (Reason: Breaking below the 1H consolidation lower boundary and the previous low of 0.06035, ATR stop loss range is reasonable)

🚀Target 1: 0.0639 (Reason: Testing the previous high resistance level, i.e., the 1H previous high)

🚀Target 2: 0.0665 (Reason: 4H rally wave 1.618 Fibonacci extension level)

🛡Trade Management:

- Position size suggestion: Light (Reason: Daily volatility has exceeded 35%, risk is extremely high, suitable only for small positions)

- Execution strategy: After the price reaches 0.0639, reduce position by 50% to lock in profits, and move the remaining stop loss up to the entry price of 0.0612. If the price cannot hold above 0.0630 and falls below 0.0615, consider exiting early.

Deep logic: Market logic indicates ‘price rising, consider position volume,’ while OI remains stable after the surge and has not significantly flowed out, suggesting the bulls have not exited. Meanwhile, the order book imbalance of -2.42% shows more sell orders, but the price remains firm, a typical sign of ‘selling pressure being absorbed, main force defending the price.’ The negative funding rate clearly indicates a short squeeze fuel; short covering will further push the price higher. The 1H RSI at 78 is high but not exhausted, leaving room for further upside. The key is that the price must hold above the short-term critical level of 0.0608-0.0612.

Trade here 👇 (
---

Follow me: Get more real-time analysis and insights on the crypto market! )$OM
$BTC