$SOL ｜15-minute open interest +1.71%｜Price -0.07%
Before discussing capital flows, first understand open interest.
Every new position has both a long and a short side, so “rising open interest means a bullish signal” is a common misconception.
When prices are mostly flat but open interest rises significantly, it means both sides are adding to their positions. A larger price swing is therefore more likely, but its direction is hard to predict.
Leave plenty of room when trading with leverage—don’t let a single wick knock you out of your position.
Before discussing capital flows, first understand open interest.
Every new position has both a long and a short side, so “rising open interest means a bullish signal” is a common misconception.
When prices are mostly flat but open interest rises significantly, it means both sides are adding to their positions. A larger price swing is therefore more likely, but its direction is hard to predict.
Leave plenty of room when trading with leverage—don’t let a single wick knock you out of your position.