According to BlockBeats, on September 18th, analyst Axel Adler Jr. pointed out that Bitcoin rose from $76,300 to $77,400 in the past 24 hours, with the market's buying and selling forces shifting towards buyers. Short positions accounted for the vast majority of liquidations, and the forced liquidation of traders who predicted a decline actually supported the price increase. The liquidation pressure oscillator rose from +0.48 a day earlier to +54.52 on September 18th, and has remained positive since the morning of September 17th, indicating that the current pattern driven by short covering is continuing.
Analysts also cautioned about the fragility of this advantage, noting that the liquidation pressure oscillator has fallen back to zero, indicating that the liquidation balance will shift back to the bullish side. Forced liquidation of long positions will generate selling pressure and exacerbate the downward trend. This rally is clearly driven by short squeezes, with the buying advantage only established in the past few hours. Whether it can translate into a more sustained upward move depends on whether the liquidation structure can remain in a bullish range.