【$POWER Signal】Long + 1H Level Short Squeeze Acceleration, Short Squeeze in Negative Funding Rate Environment

$POWER The 1H level has consolidated strongly at high levels after a massive rally, with the price refusing to undergo a deep correction. The 4H level shows an epic breakout, with a single candle increasing over 100%, indicating very strong trend momentum. Currently, the negative funding rate is as high as -1.11%, but open interest remains stable and prices are firm. This is a typical short squeeze signal, with shorts being continuously squeezed out.

🎯Direction: Long (Long)

🎯Entry/Order: 1.830 - 1.840 (Reason: The lower boundary of the current strong sideways range, with the 1H EMA20 dynamic support moving up to around 1.80)

🛑Stop Loss: 1.750 (Reason: Breaking below the strong sideways range on the 1H level and the previous 1H candle low of 1.768)

🚀Target 1: 2.000 (Reason: Psychological level at an integer and potential resistance from the previous rally)

🚀Target 2: 2.350 (Reason: The 4H high of 2.347, breaking through which could trigger a new round of acceleration)

🛡️Trading Management:

- Position suggestion: Light position (Reason: The intraday increase has exceeded 125%, volatility is very high, prioritize risk management)

- Execution strategy: Use aggressive management. Once the price breaks above 1.888 (the previous 1H high), quickly move the stop loss to the entry price of 1.830 to break even. After reaching Target 1, reduce position by 70%, and use a trailing stop to aim for Target 2.

Deep logic: This is a capital-driven short squeeze game. Key data points: 1) Negative funding rate of -1.11% indicates extremely high short position costs and strong liquidation demand; 2) Open interest remains stable despite such a rally, suggesting that the long main force has not exited and shorts have not surrendered en masse, so the game continues; 3) The 1H RSI is as high as 86, in an extreme overbought state, but in a short squeeze environment, RSI can remain prolonged and is not a contrarian indicator but a proof of momentum strength. The order book shows decent buy-side depth, but sell pressure above is beginning to accumulate, requiring a quick breakout to open space. The core is the chain reaction of shorts being squeezed under negative funding rates.

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