【$LINEA Signal】Long | Healthy Pullback After Short Squeeze
$LINEA After a single-day surge of 27%, it is experiencing a volume-reducing pullback on the 4H timeframe. This is a typical healthy reset after a short squeeze, not a top.
Logic core: The price has strongly broken above and stabilized above the EMA20 (0.0034), confirming a short-term trend reversal. The main driving force is the deep negative funding rate (-0.2972%) combined with stable open interest (OI). This is textbook short squeeze structure, with shorts still being forced to cover.
Market analysis: On the 4H level, volume and price show that after the last large bullish candle, the pullback volume shrank, and buy order depth (Bids) is significantly thicker than sell orders (Asks), with an imbalance of 12.47%, indicating strong institutional buying support below. RSI (65.57) has fallen back from overbought territory, preparing for a second upward move.
Risk management highlight: Set the stop loss below the bottom of the volume-driven bullish candle to avoid being shaken out during a normal pullback. The risk-reward ratio (R:R) > 2.5, showing a clear mathematical advantage. This is a trend-following pullback to add long positions, not a counter-trend top.
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【$LINEA Signal】Long | Healthy Pullback After Short Squeeze
$LINEA After a single-day surge of 27%, it is experiencing a volume-reducing pullback on the 4H timeframe. This is a typical healthy reset after a short squeeze, not a top.
🎯Direction: Long
🎯Entry: 0.00375 - 0.00380
🛑Stop Loss: 0.00353 (Break below the previous 4H candle's low, rigid stop loss)
🚀Target 1: 0.00412 (Previous high)
🚀Target 2: 0.00440 (Fibonacci 1.618 extension)
Logic core: The price has strongly broken above and stabilized above the EMA20 (0.0034), confirming a short-term trend reversal. The main driving force is the deep negative funding rate (-0.2972%) combined with stable open interest (OI). This is textbook short squeeze structure, with shorts still being forced to cover.
Market analysis: On the 4H level, volume and price show that after the last large bullish candle, the pullback volume shrank, and buy order depth (Bids) is significantly thicker than sell orders (Asks), with an imbalance of 12.47%, indicating strong institutional buying support below. RSI (65.57) has fallen back from overbought territory, preparing for a second upward move.
Risk management highlight: Set the stop loss below the bottom of the volume-driven bullish candle to avoid being shaken out during a normal pullback. The risk-reward ratio (R:R) > 2.5, showing a clear mathematical advantage. This is a trend-following pullback to add long positions, not a counter-trend top.
Trade here 👇 $LINEA
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