I’ve been watching Berachain ($BERA ) closely today, and after months of being labeled a “struggling L1,” it just delivered one of the most aggressive reversals of 2026 — ripping over 80% and tagging $1.04.
Here’s how I see it:
🟢 Why It Exploded (The Catalyst)
This looks like a classic “sell the rumor, buy the news” setup.
The February 6 token unlock — a massive 41% of supply — had everyone positioned for a dump. But the crash never came. Instead:
Heavy short positioning turned into a violent short squeeze
Bears were forced to cover as price held strong
The expiration of the Brevan Howard refund risk removed a major overhang
The new “Bera Builds Businesses” direction signals a shift toward real revenue-generating apps instead of pure token emissions
Narrative + positioning shift = explosive upside.
🔴 What Concerns Me (The Risk)
That said, a 150% move in two days is extreme.
Price is starting to react near a descending trendline
MACD momentum is cooling off from peak expansion
Volume profile shows trading was concentrated among larger players, with heavy liquidations — not broad retail participation
When a squeeze drives the move, it can unwind just as fast once forced buying dries up.
🎯 My Plan
I’m bullish on Berachain’s long-term Proof of Liquidity model — but I’m not chasing above $1.00.
I want to see:
A healthy pullback
The $0.82 – $0.85 zone flip into strong support
Stability with constructive volume
If that level holds, I’ll look for a safer, structured entry.
Patience > FOMO.
