$LAYER I am slightly bullish, but I’m not chasing this position. The just-completed 23:00 one-hour move pushed from 0.07529 to 0.08809, with trading volume of about $12.1 million, 13 times the previous hour’s roughly $930,000; spot also closed that same hour at 0.0882, so the rally was not just a single-contract order book frenzy.
More noteworthy is that the notional value of open interest in futures rose from about $2.37 million to $3.82 million in one hour, an increase of about 61%. Price and open interest rising together suggests new leverage is piling in, which can amplify the second leg up, but also magnify any pullback. Funding rate is around -0.0043%, so shorts are still paying, but the magnitude is not high enough to conclude a squeeze based on that alone.
I’ll wait for a 15-minute pullback to around 0.0840 that can hold, then a volume-backed close above 0.0894 before considering following in; if the 1-hour candle closes below 0.0781, this acceleration structure fails. #LAYER #Solayer #Solana
More noteworthy is that the notional value of open interest in futures rose from about $2.37 million to $3.82 million in one hour, an increase of about 61%. Price and open interest rising together suggests new leverage is piling in, which can amplify the second leg up, but also magnify any pullback. Funding rate is around -0.0043%, so shorts are still paying, but the magnitude is not high enough to conclude a squeeze based on that alone.
I’ll wait for a 15-minute pullback to around 0.0840 that can hold, then a volume-backed close above 0.0894 before considering following in; if the 1-hour candle closes below 0.0781, this acceleration structure fails. #LAYER #Solayer #Solana