Crypto
Bitcoin Momentum Fades as Long Squeeze Risk Rises
Bitcoin's price momentum has begun to wane according to recent analysis. The Price Momentum indicator, which measures bullish momentum, has already reached level 20, indicating that the upward trend is slowing down despite Bitcoin holding near recent highs.
The FEI Score, which assesses market uncertainty, has reached a high of 99.53%, placing it in what analysts describe as an 'absolute noise' zone where market signals become less reliable.
As a result, the current setup may lead to a long squeeze scenario, where falling prices force leveraged long traders to close their positions, accelerating downside volatility.