The current phase is characterized by shorts being beaten down severely, yet they refuse to admit defeat and frantically add margin. True downside will only begin when shorts are completely hopeless and the market reverses to a bullish trend. I'm unsure exactly when we'll see that capitulation, but it will definitely be when shorts throw in the towel.

Right now shorts haven't mentally given up yet. Retail traders are starting to call for bulls, but they haven't fully entered the market, so there's still some possibility of an upside move. However, the probability is very low, and we still need to be cautious and guard against risks.