【$OM Signal】Long! Strong consolidation after 1H breakout, negative funding rate imminent for a short squeeze

$OM The 1H timeframe has been in a strong consolidation phase after yesterday’s volume breakout. The price remains above the 1H EMA20 (0.0622), and on the 4H level, it has broken through the EMA50 (0.0570) with a retest confirmation. The current negative funding rate is as high as -0.29%, while the price stays firm and open interest (OI) remains stable, indicating a typical sign of a short squeeze, with clear main force support. The 1H RSI (63.76) is healthy, leaving room for further upside.

🎯Direction: Long (Long)

🎯Entry/Order: 0.0640 - 0.0643 (Reason: The lower boundary of the current strong consolidation zone, with dynamic support from 1H EMA20)

🛑Stop Loss: 0.0625 (Reason: Break below the 1H EMA50 support and the previous 1H candle low)

🚀Target 1: 0.0670 (Reason: Previous high resistance level on the 4H timeframe)

🚀Target 2: 0.0695 (Reason: 1.618 Fibonacci extension based on recent gains)

🛡️Trade Management:

- Position size suggestion: Standard position (Reason: 4H and 1H trends are resonating, and negative funding rate provides a safety margin)

- Execution strategy: After the price reaches 0.0670 (Target 1), reduce position by 50%, and move the stop loss of the remaining position to the entry price of 0.0643 (break-even). If the price strongly breaks through 0.0670, hold the remaining position to aim for Target 2.

Deep logic: In the past 24 hours, the price has increased over 15%, with volume and price rising together. The key point is the combination of a negative funding rate (-0.29%) and strong sideways consolidation, indicating that short positions are very costly and being squeezed. Market depth data (bid_ask_ratio_depth: 1.19) slightly favors buyers over sellers, with dense orders in the 0.0635-0.0640 range below, forming a strong support. Market logic suggests “price rising, combined with position volume analysis,” and since OI remains stable, it rules out purely short liquidation, indicating a phase of main bullish accumulation and control. The 1H convergence has completed, and a direction will be chosen soon, with a higher probability of moving upward.

Check real-time market 👇 $OM

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