Binance futures liquidations totaled $18.02 million over the past hour: $215,000 in longs (1.2%) and $17.81 million in shorts.
After a liquidation event, I look at three things:
① Who got squeezed: shorts outnumbered longs, and the rally forced a wave of short covering;
② The largest liquidation was $ETH ($12.37 million); volatility afterward is often the most extreme;
③ Whether open interest fell afterward: a drop suggests leverage was indeed flushed out, while little change suggests new positions are entering.
Repeated liquidations on both sides often mean the market hasn’t picked a direction.
Markets move quickly, so make your own judgment.
After a liquidation event, I look at three things:
① Who got squeezed: shorts outnumbered longs, and the rally forced a wave of short covering;
② The largest liquidation was $ETH ($12.37 million); volatility afterward is often the most extreme;
③ Whether open interest fell afterward: a drop suggests leverage was indeed flushed out, while little change suggests new positions are entering.
Repeated liquidations on both sides often mean the market hasn’t picked a direction.
Markets move quickly, so make your own judgment.