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📊 A simple explanation of short and long positions… $BTC
The number of short positions currently is nearly double the number of long positions.
But be careful 👀
Having many shorts by itself does not mean the market will rise immediately—just like having many longs does not mean the market will fall immediately.
The market always looks for the largest concentration of liquidity, and the next move is usually toward the area that causes the most liquidations for traders.
So, tracking the distribution of longs and shorts is useful, but the most important thing is to know where liquidity is concentrated and which side is the most crowded at the current time.
Sometimes, the best opportunities for an upward move begin when most traders are convinced the market will go down 😉