$PENDLE took a pretty sharp dive.
It plunged 1.47% in 15m, with volume surging to more than 4 times normal and taker flow at -28%—sellers clearly had the upper hand. Price broke below the lows of nearly 20 recent 5m candles, suggesting the short-term structure is starting to come apart.
But the key point is OI: down 1.19% in 15m and 1.50% in 1h, with a notional change of -3.26%. Price falling while OI declines suggests this wasn't fresh short positioning coming in; it's more likely longs deleveraging and exiting via stop-losses. Positions are shrinking, not building as price sells off.
The OI anomaly percentile hit 99%, ranking second across the entire pool. The funding rate is still in a high percentile relative to recent levels, suggesting longs had been fairly crowded and are now being flushed out.
A drop is a drop, but this kind of deleveraging-driven pullback is very different from a trend-driven crash. Next, watch whether OI can stabilize and where the aggressive selling starts to dry up.
It plunged 1.47% in 15m, with volume surging to more than 4 times normal and taker flow at -28%—sellers clearly had the upper hand. Price broke below the lows of nearly 20 recent 5m candles, suggesting the short-term structure is starting to come apart.
But the key point is OI: down 1.19% in 15m and 1.50% in 1h, with a notional change of -3.26%. Price falling while OI declines suggests this wasn't fresh short positioning coming in; it's more likely longs deleveraging and exiting via stop-losses. Positions are shrinking, not building as price sells off.
The OI anomaly percentile hit 99%, ranking second across the entire pool. The funding rate is still in a high percentile relative to recent levels, suggesting longs had been fairly crowded and are now being flushed out.
A drop is a drop, but this kind of deleveraging-driven pullback is very different from a trend-driven crash. Next, watch whether OI can stabilize and where the aggressive selling starts to dry up.
