$ETH Global account long/short ratio: 3.07 (long 75.4% / short 24.6%), compared with 3.08 an hour ago.
A beginner’s burning question: What does the global account long/short ratio mean?
The global account long/short ratio shows how many people are betting on each side, not which side has larger positions. These two things often don’t line up.
The long/short ratio is often treated as a sentiment indicator: when one side becomes overly crowded, a price move against that side can trigger a cascade of stop-losses.
Any indicator only describes past movements; prices can absolutely move in the opposite direction.
#ETH
A beginner’s burning question: What does the global account long/short ratio mean?
The global account long/short ratio shows how many people are betting on each side, not which side has larger positions. These two things often don’t line up.
The long/short ratio is often treated as a sentiment indicator: when one side becomes overly crowded, a price move against that side can trigger a cascade of stop-losses.
Any indicator only describes past movements; prices can absolutely move in the opposite direction.
#ETH