Just when we were having dinner, a friend was discussing whether this wave of Bitcoin decline was due to Citron’s release of a short Microstrategy report.

Mr. Gou will talk about this in detail.

Citron released a short MSTR report on November 21, which means that your MSTR/BTC premium is too high, so the strategy given is "short MSTR and long BTC", which directly caused MSTR to fall by nearly 20%, but BTC did not change much, and the premium was indeed reduced.

Don’t think that Citron’s previous shorting of Tesla and Evergrande feels very grand. Citron is actually a short KOL, and every time it makes money, it releases news to manipulate the market.

Discuss the release time and share of the report with the hedge fund. After the release, the hedge fund is responsible for manipulating the stock price and cooperating with the news to smash, smash, smash, smash, and so on, causing more small households to panic and follow suit.

Citron’s boss was just accused by the SEC this year for colluding secretly to play this trick.

As for Bitcoin, in fact, the long-short ratio on major exchanges reached about 1.3 over the weekend. The bullish sentiment was high, and it was imperative to clear a wave of long orders.

I don’t think that Citron and the hedge funds it colluded with are strong enough to manipulate the price of Bitcoin. It should not be a wave of people, but the market sentiment has arrived, and the timing of the two sides’ smashing is just one after the other.

Although MSTR fell before, its narrative was tied to Bitcoin. If Bitcoin did not fall, there would not be enough panic. Now Bitcoin has fallen by 10%. After the opening of the U.S. stock market today, MSTR has enough small households to panic.

According to the script of most of Citron’s previous short-selling cases, after short-term profit-taking, it is highly likely that MSTR will continue to rise, and small households that follow the trend will become fuel.

After clearing the low leverage of Bitcoin this time, the long-short ratio will ease, and it will continue to rise. After all, there are still some huge narratives that have not been unfolded in the short term.