Rejections of these type of bull moves can lead to capitulation.

Very hostile market for shorts. Giving the false start signals and then the parabolic spike-outs.

I suspect it thinned the crowd of the shorts but I've learned you rarely get a big short trade that is not hostile first - if this was only a spike-out, the rejection will be strong.

Stong rejection can lead to waterfall under lows. Maybe even limit down days.