$Q : This 15-minute candle plunged 11.3%, volume was 3.4x, and OI fell 5.4% in tandem—open interest is down nearly 8M over the past hour, while price is moving lower.
This is the least surprising kind of move: longs getting squeezed out. It’s not new shorts coming in to push the price down; it’s leverage unwinding on its own. Net taker volume was -0.1% and the buy/sell ratio was 1.00, suggesting there was no follow-through buying when the sell-off hit—price was simply pushed down by liquidations.
The OI anomaly percentile is 98.4%, ranking fourth across the entire pool—an extreme level that’s uncommon under normal conditions. But since this is long-side deleveraging, it may actually be better to wait for this wave of stop-loss selling to clear than to stubbornly hold on near the highs. First, see if price can find support around here. Don’t rush to buy the dip.
This is the least surprising kind of move: longs getting squeezed out. It’s not new shorts coming in to push the price down; it’s leverage unwinding on its own. Net taker volume was -0.1% and the buy/sell ratio was 1.00, suggesting there was no follow-through buying when the sell-off hit—price was simply pushed down by liquidations.
The OI anomaly percentile is 98.4%, ranking fourth across the entire pool—an extreme level that’s uncommon under normal conditions. But since this is long-side deleveraging, it may actually be better to wait for this wave of stop-loss selling to clear than to stubbornly hold on near the highs. First, see if price can find support around here. Don’t rush to buy the dip.