This correction is healthy because it resets momentum after an aggressive move and removes crowded short positions. When shorts get trapped and liquidated, the market often pauses to rebalance before deciding the next direction. This $Q short liquidation at $0.01597 looks like a controlled reset rather than a sign of exhaustion.

I’m watching this area closely because price didn’t fade hard after the squeeze. Instead, it started holding above the liquidation level, which tells me they’re building strength through acceptance, not distribution.

Why this zone is strong

This level sits on a previous reaction zone where price stalled and reversed earlier.

It aligns with a key retracement area of the most recent leg higher, a common spot for continuation setups.

The market has already shown multiple defenses and shallow pullbacks here, signaling active demand.

As long as this zone remains intact, structure stays constructive.

Trade Setup I’m watching

Entry Zone: $0.0155 – $0.0161

Target 1: $0.0174

Target 2: $0.0192

Stop Loss: $0.0149

If this level holds, I’m expecting a slow buildup followed by expansion once liquidity above is targeted. I’m staying patient and reactive — if this level holds, continuation remains the higher-probability outcome.