$SENT This drop, paired with a contraction in open interest, is a typical deleveraging by longs—not short-led new sell pressure.
In the 15m timeframe, the price is down 1.27%, but in 1h open interest fell by 0.53%, a nominal reduction of $233K. Price down and positions down indicate stop-loss selling or traders actively reducing exposure; it doesn’t look like someone is massively building short positions.
The active trade imbalance is -49.8%, and the buy/sell ratio is only 0.34—selling pressure is clearly skewed to one side. The funding rate is still in the high range recently. Longs were too crowded before; getting cleaned out now is normal.
The close has already broken below the lower edge of the last ~20 5m candles, and the short-term structure is weakening. But with this kind of deleveraging-style selloff, once positions have fully cleared, it often stabilizes more easily.
Next, watch when this OI contraction stops.
In the 15m timeframe, the price is down 1.27%, but in 1h open interest fell by 0.53%, a nominal reduction of $233K. Price down and positions down indicate stop-loss selling or traders actively reducing exposure; it doesn’t look like someone is massively building short positions.
The active trade imbalance is -49.8%, and the buy/sell ratio is only 0.34—selling pressure is clearly skewed to one side. The funding rate is still in the high range recently. Longs were too crowded before; getting cleaned out now is normal.
The close has already broken below the lower edge of the last ~20 5m candles, and the short-term structure is weakening. But with this kind of deleveraging-style selloff, once positions have fully cleared, it often stabilizes more easily.
Next, watch when this OI contraction stops.
