$LINK is in a price range where Long positions have been thoroughly swept out by stop-losses. One particularly notable move occurred at 22:25 on 08/10, when OI fell 1.99% and the price jolted 1.71%—an impressive figure that reflects selling pressure. 😐
For two consecutive days, 08 and 09/10, every sharp drop in OI has targeted the Long side. Specifically, at 00:25 on 09/10, OI evaporated by another 1.68% as the price fell 0.83%. Clearly, Long traders have repeatedly tried to “catch falling knives” and held losing positions without success, leading to a wave of forced closures. At 22:20 on 08/10, the price fell just 0.59%, yet OI had already dropped 1.07%. Long liquidity zones have been cleared out quite thoroughly.
OI continued to fall by 0.83% at 00:20 on 09/10, accompanied by a 0.79% price jolt, indicating that selling pressure is still present. This shows how sensitive the market is to downward pressure, with Long traders taking the brunt of it. The drop in OI may be due to profit-taking or forced position closures. 🤓
In this environment, anyone who is “buying the top” or holding highly leveraged Long positions should think carefully. High leverage is a double-edged sword and can easily sweep away your stop-losses.
For two consecutive days, 08 and 09/10, every sharp drop in OI has targeted the Long side. Specifically, at 00:25 on 09/10, OI evaporated by another 1.68% as the price fell 0.83%. Clearly, Long traders have repeatedly tried to “catch falling knives” and held losing positions without success, leading to a wave of forced closures. At 22:20 on 08/10, the price fell just 0.59%, yet OI had already dropped 1.07%. Long liquidity zones have been cleared out quite thoroughly.
OI continued to fall by 0.83% at 00:20 on 09/10, accompanied by a 0.79% price jolt, indicating that selling pressure is still present. This shows how sensitive the market is to downward pressure, with Long traders taking the brunt of it. The drop in OI may be due to profit-taking or forced position closures. 🤓
In this environment, anyone who is “buying the top” or holding highly leveraged Long positions should think carefully. High leverage is a double-edged sword and can easily sweep away your stop-losses.