BY [MR_UMAIR]
Bitcoin has surged past the $100,000 mark after sweeping the lower-side liquidity, sparking intense debate among traders and analysts. While this significant move has energized the market, questions remain about the sustainability of this rally.
Currently, there are two possible scenarios at play:
1. A Classic Bull Trap:
The market could be orchestrating a deceptive rally to trap long positions. After this initial pump, prices may sharply reverse, leaving late buyers stuck at the top. This is a common strategy during uncertain market phases where liquidity is low and sentiment is confused.
2. A Real Recovery:
Alternatively, this could be the beginning of a true recovery, possibly fueled by easing geopolitical tensions—particularly the recent developments related to the war. However, the probability of this scenario is currently considered lower than the first.
What to Watch For:
The market remains directionless at the moment. Expect fakeouts and volatility as whales and institutions attempt to trap retail traders. Whether it’s a pump or a dump, external factors—such as breaking news—could play a major role in determining the next big move.
Strategy Going Forward:
In such conditions, caution is crucial. Stick to smaller position sizes, avoid aggressive leverage, and prioritize spot buying over short-term speculation. As previously advised, this may still be a good time to accumulate on dips—but only with a long-term view and sound risk management.
In this market, patience is profit. Don’t fall for the traps.