$4.65 million in Binance futures liquidations over the past hour: $908,000 in longs (19.5%) and $3.74 million in shorts.
After a liquidation, I usually look at three things:
① Who got washed out: short liquidations outweighed long liquidations, so the rally forced a wave of short covering;
② The largest concentration was at $BTC ($1.7 million), which is usually followed by the biggest swings;
③ Whether open interest fell afterward: a drop means leverage was indeed flushed out; no drop means new leverage is entering.
When funding rates or positions become heavily skewed to one side, a move in the opposite direction is often not far off.
#BTC
Just my personal opinion—please consider it critically.
After a liquidation, I usually look at three things:
① Who got washed out: short liquidations outweighed long liquidations, so the rally forced a wave of short covering;
② The largest concentration was at $BTC ($1.7 million), which is usually followed by the biggest swings;
③ Whether open interest fell afterward: a drop means leverage was indeed flushed out; no drop means new leverage is entering.
When funding rates or positions become heavily skewed to one side, a move in the opposite direction is often not far off.
#BTC
Just my personal opinion—please consider it critically.