Venezuela Short Squeeze
The short squeeze we foresaw (refer to Friday’s note). Bitcoin at $91,300 (+4% week)—two-week high. Ethereum at $3,150 (+7% week), strong momentum building. Solana $132 (+8% week). The BOLLINGER BANDS SQUEEZE RESOLVED BULLISH exactly as predicted Friday. This is THE confirmation.
U.S. military action in Venezuela triggered a MASSIVE short squeeze as crypto proved its ACTUAL utility—capital flight, sanctions resistance, sovereignty hedge. BTC dipped to $89K, recovered to $91.3K in <24 hours.
Index surged from 10 (Extreme Fear) to 40 in 48 hours. Shorts positioned for further breakdown got absolutely CRUSHED. Liquidation cascade above $90K added rocket fuel.
Friday Market Breakout
Bollinger Bands narrowed to <$3,500—LOWEST since July. BTC traded tight $85K-$90K range for two weeks. Classic 'squeeze' setup preceding major price swings.
Impact: July 2025's similar squeeze preceded BTC rally $65K→$85K (+30% in 21 days). Current compression suggests 15-25% move imminent within 7-14 days. Direction TBD but magnitude clear.
The Whipsaw - CPI Turns Nightmare
Markets realized the CPI is FAKE, Fed rate cut odds DIDN'T BUDGE (still 24% for January), and BTC gave back ALL gains plus more. Now at $86K heading into BoJ tomorrow—the REAL catalyst. Wednesday's $457M ETF inflows reversed meaning. Whales who bought Wednesday got REKT today. This market PUNISHES conviction. Tomorrow's BoJ decision will decide: $70K breakdown or $95K breakout.