Binance futures liquidations totaled $5.79 million over the past hour: $456,000 in long positions (7.9%) and $5.34 million in short positions.
After a liquidation, I look at three things:
① Who got flushed out: mostly shorts, with the upward move triggering short covering;
② The largest concentration was at $ETH ($2.5 million); volatility is usually most intense afterward;
③ Whether open interest also declined: a drop means leverage has genuinely been flushed out, while little change suggests positions are building back up.
The longer funding rates stay high, the higher the cost of holding positions—and the more people will be unable to hold on.
#ETH
Do your own research before placing an order.
After a liquidation, I look at three things:
① Who got flushed out: mostly shorts, with the upward move triggering short covering;
② The largest concentration was at $ETH ($2.5 million); volatility is usually most intense afterward;
③ Whether open interest also declined: a drop means leverage has genuinely been flushed out, while little change suggests positions are building back up.
The longer funding rates stay high, the higher the cost of holding positions—and the more people will be unable to hold on.
#ETH
Do your own research before placing an order.