"1011 Crash Insider Whale" Agent: If supply shocks persist, oil prices may face greater upward pressure

2026-03-08 01:50:33

Abstract generation in progress

Deep Tide TechFlow News, March 8th, “1011 Collapse Insider Whale” agent Garrett Jin posted on the X platform that historically, there has been a clear correlation between oil supply gaps and rising oil prices: a supply gap of about 7% in 1973 drove oil prices up by approximately 300%, a 5% gap in 1979 led to about a 150% increase, and a 6% gap in 1990 resulted in roughly a 130% rise.

Currently, the potential supply shock around the Strait of Hormuz is estimated at about 15%, far higher than historical cases. Most institutional models assume this shock will last only “a few days to a few weeks,” but almost no models expect the shock to last several months. In reality, once the market’s consensus on the duration is broken, more long-position funds may be forced to enter the market, further driving up oil prices.

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