While the cryptocurrency market is at a crossroads, liquidation pools for Bitcoin and Ethereum are threatening a potential short squeeze. Both cryptocurrencies have seen a decline in price this month, with Bitcoin at $66,773 and Ethereum at $3,273.

In light of this, Futures traders have been opening short positions against these cryptocurrencies, based on data from CoinGlass. Market makers are potentially targeting Bitcoin short-sellers as there are significant leveraged liquidity pools between $72,000 and $75,000.

On the other hand, Ethereum has two margin liquidity pools at $3,700 and $4,100, suggesting a potential short squeeze. However, the funding rate for both Bitcoin and Ethereum is low, indicating a balanced interest between short and long positions. Market experts may wait for a higher imbalance before triggering a major move.

Overall, there is a strong possibility of both Bitcoin and Ethereum facing a short squeeze and experiencing a price surge in the coming week. Traders are advised to monitor funding rates for these cryptocurrencies before making any investment decisions as the market remains speculative.