Sitting and checking the chart $TRX for a while now, I noticed something odd. The funding rate is at -0.1592%/8h—Shorts are paying huge fees just to hold their positions. 👀 This figure is unusually high, suggesting that the cost for Shorts is skyrocketing. And it’s accompanied by Open Interest rising +11.0%. Normally, when funding is deeply negative like this, it’s a “ticklish” signal for those holding Shorts—it’s very likely to trigger a liquidity sweep in the opposite direction, also known as a short squeeze.
Looking at other altcoins like Doge, ETH, BNB, or XRP, we see a familiar script again: the crowd is “going in pretty strongly” with Longs, with the Long account ratio hovering around 70%. For ETH specifically, individual Long accounts reach 71.0%, while the Top Traders are only at 61.8% 😐. The Long side clearly has the advantage, which often creates a large liquidity zone below. It’s not that being crowded automatically means you’re wrong, but the risk of sweeping out all the stop-loss orders below is gradually increasing, especially when Open Interest isn’t rising strongly like $TRX .
Looking at other altcoins like Doge, ETH, BNB, or XRP, we see a familiar script again: the crowd is “going in pretty strongly” with Longs, with the Long account ratio hovering around 70%. For ETH specifically, individual Long accounts reach 71.0%, while the Top Traders are only at 61.8% 😐. The Long side clearly has the advantage, which often creates a large liquidity zone below. It’s not that being crowded automatically means you’re wrong, but the risk of sweeping out all the stop-loss orders below is gradually increasing, especially when Open Interest isn’t rising strongly like $TRX .
