$G 24-hour futures open interest +74.49%, price -2.17%—open interest is rising while price is falling.
First, a note on the metric: open interest here is calculated in coin units, excluding the effect of price movements on its value, so the change reflects actual opening or closing of positions.
New positions are being opened as the price falls, which looks more like fresh shorts actively pushing the price down. Of course, it’s also possible that some longs are adding to their positions as the price drops. In the short term, watch out for continued selling pressure from bears; conversely, if short positions become too crowded, a short squeeze could come quickly.
Will the market turn around next?
First, a note on the metric: open interest here is calculated in coin units, excluding the effect of price movements on its value, so the change reflects actual opening or closing of positions.
New positions are being opened as the price falls, which looks more like fresh shorts actively pushing the price down. Of course, it’s also possible that some longs are adding to their positions as the price drops. In the short term, watch out for continued selling pressure from bears; conversely, if short positions become too crowded, a short squeeze could come quickly.
Will the market turn around next?
