The long deleveraging in this ICNT move has been pretty brutal.
It dropped 2.12% in just 15m, but volume was only 0.71x—price down on lower volume. Aggressive trade flow was -5.8%, and the buy/sell ratio was 0.89, with sell pressure pushing down on buyers.
The key is OI: 15m contracts fell 1.62%, or -167K notional; 1h fell 2.53%, or -5K notional. Price down + OI down is typical of long stop-outs/position reduction, not fresh shorts piling in to drive it lower.
Funding rates are still in a high percentile relative to recent levels, showing just how crowded longs had been. The current anomaly percentile is 88.3%, ranked #5 across the pool, with notional change ranked #24—confirmed by depth data.
24h trading volume is 178M, making it relatively active within the pool. If this structure continues, another wave of long liquidations could accelerate the move; if it holds, this is just a healthy rotation of positions.
Keep an eye on OI changes. Don’t rush to buy the dip.
It dropped 2.12% in just 15m, but volume was only 0.71x—price down on lower volume. Aggressive trade flow was -5.8%, and the buy/sell ratio was 0.89, with sell pressure pushing down on buyers.
The key is OI: 15m contracts fell 1.62%, or -167K notional; 1h fell 2.53%, or -5K notional. Price down + OI down is typical of long stop-outs/position reduction, not fresh shorts piling in to drive it lower.
Funding rates are still in a high percentile relative to recent levels, showing just how crowded longs had been. The current anomaly percentile is 88.3%, ranked #5 across the pool, with notional change ranked #24—confirmed by depth data.
24h trading volume is 178M, making it relatively active within the pool. If this structure continues, another wave of long liquidations could accelerate the move; if it holds, this is just a healthy rotation of positions.
Keep an eye on OI changes. Don’t rush to buy the dip.