"pedal" or "the trap"

The Spot market (Giao ngay) plays an extremely important role in the battle between factions, with detailed analysis on the impact of Spot.

1. Spot is the “trigger” to activate Short Squeeze (In the case of ICP) Currently, the Short side is dominating ICP with a low Long/Short ratio of about 66% and the Short side is making significant profits. * Impact of Spot: To “kill” this Short side in order to profit or liquidate positions, the “Whales” (Market Makers) will use capital to buy heavily in the Spot market. * Mechanism: When the Spot price increases \rightarrow The reference price (Index Price) in Futures increases accordingly \rightarrow Reaching the Stop Loss point (Stop Loss) or Liquidation (Liquidation) of the Short side.

• Consequence: Short sellers are forced to buy back to cover their positions, combined with the initial Spot buying force causes the price to skyrocket ( like a standing green candle up to $3,490 in the chart image ). This is called price manipulation by Spot to kill Futures.

2. Spot is the “flood release” place when the Long faction is squeezed (In the case of BTC, ETH) In contrast to ICP, large coins like BTC and ETH are experiencing a huge amount of Long positions being trapped and incurring losses (BTC losses ~60 million USD, ETH losses ~50 million USD). * Impact of Spot: Longs ( The whales caught ) are in desperate need of the Spot price to rise so they can “get back to shore”. However, if the Spot market sees real selling pressure ( from panic users or miners selling BTC), the price will drop. * Risk: When the Spot price drops significantly below important support levels (, for example, if BTC breaks below $88k), those “huge” Long orders will be liquidated in large numbers. Long liquidation orders are essentially sell-off orders, which will cause the Spot price to crash even faster and harder.
3. The “Fake Buying Pressure” signal on the chart (Volume Analysis) Looking at the technical chart of ICP: * Trading volume (Volume): Although there were strong bullish candles (green), the Spot buying volume could not be sustained for long and was immediately followed by strong selling pressure (long red candles).

• Meaning: This indicates that the upward force is mainly due to short-term speculative activities (Squeeze) on the derivatives side rather than due to actual long-term Spot cash accumulation. The real value (Spot) has not accepted high price levels, so after “killing” the Shorts, the price falls back to the $3.03 - $3.04 range. Summary of strategy * If playing Spot: Don't rush to buy just because the Futures price is moving. Observe the Spot Volume. If the price rises but the Spot Volume is low ( or lower than the previous bearish candle ), that's a Bull Trap (. * With ICP: The $3.00 - $3.04 range is currently a strong psychological and technical support. If this level is breached with high Volume, the price may find a new deeper bottom.