Plasma sits deeply oversold after a heavy 24-hour cut, but the underlying structure shows the type of bottom-side positioning that often precedes short squeezes. Open interest remains extremely elevated relative to market cap, and funding sits mildly negative — a combination that implies traders are aggressively leaning short, giving the market fuel for forced buying if price begins to rise.
Order-book behavior is also supportive, with bid-dominance ratios above 1.13 across key depth levels. Despite the recent drop, buyers continue to accumulate size, particularly around major liquidity pockets that historically act as impulse bases. This suggests not panic, but controlled accumulation during decline.
Bitcoin Dominance drifting lower improves the squeeze probability for high-beta names. And with USDT Dominance at 5.42% — a zone where dominance begins to top out — a relief rotation into beaten-down alts is increasingly likely within the next 24 hours.
Bias: High-risk bullish reversal
Upside Targets: 0.284 → 0.297 → 0.314
Supports: 0.254 / 0.247
Outlook: Strong potential for short squeeze if early buyers push through first micro-resistance
