Over the past 4 hours, $26.69 million in Binance futures positions were liquidated: $2.08 million in long positions (7.8%) and $24.61 million in short positions.
After liquidations, I generally look at three things:
① Who got flushed out: mainly shorts, as the rally triggered short covering;
② The largest concentration was at $BTC ($8.42 million), and price swings around it are usually the most volatile next;
③ Whether open interest also declined: a drop means leverage was indeed flushed out, while little change suggests new positions are entering.
No matter how large the liquidation amount is, it’s already in the past. What matters is how leverage builds back up afterward.
After liquidations, I generally look at three things:
① Who got flushed out: mainly shorts, as the rally triggered short covering;
② The largest concentration was at $BTC ($8.42 million), and price swings around it are usually the most volatile next;
③ Whether open interest also declined: a drop means leverage was indeed flushed out, while little change suggests new positions are entering.
No matter how large the liquidation amount is, it’s already in the past. What matters is how leverage builds back up afterward.