$TRUMP 24-hour futures open interest +27.57%, price -15.57%—open interest is rising while price is falling.
First, a note on methodology: open interest here is measured in coin units, excluding the effect of price changes 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 driving the decline. Of course, we can’t rule out longs buying more as the price drops. For now, watch out for continued pressure from the bears; but if short positions get too crowded, a short squeeze can come quickly.
Which side are you on? Let us know.
First, a note on methodology: open interest here is measured in coin units, excluding the effect of price changes 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 driving the decline. Of course, we can’t rule out longs buying more as the price drops. For now, watch out for continued pressure from the bears; but if short positions get too crowded, a short squeeze can come quickly.
Which side are you on? Let us know.
