Why cant it break the $400 finally?
do you have any doubt that it will?
Problem is when everyone thinks that it'll go up they start going full retard on leveraged longs as evidenced on finex. When longs go full retard you gonna have a bad time
How does that work? Does a whale wait until there are 90% leveraged longs and 10% leveraged shorts, then put a giant short on, then dump so hard it calls all the leveraged longs? Is that why there was a massive spike down by $20 on bitfinex last night?
Short answer is
nobody knows and those spikes could be caused by many things.
In the last two days people borrowed ~ $2MM on finex and bought BTC with it. So roughly
BTC5k were bought on borrowed funds which needs to be repaid back. So what seems like a natural growth and a rise in demand (to a degree) is just someone speculating. Speculators have to pay interest on borrowed funds, and the more they borrow the higher the interest gets. Market knows this and when leverage gets out of control the domino effect causes a (usually a violent) correction. As far as what are those break points or even how much effect that leverage has on say Chinese volumes is the name of the game