Honestly, when friends ask me how to interpret the long/short ratio, I use $ETH as an example:
The platform-wide long/short ratio is 3.51, meaning 77.8% are long and 22.2% are short.
A ratio above 1 means there are more long positions; below 1 means there are more short positions. But remember: the more one-sided the ratio, the more cautious you should be about a move in the opposite direction.
#ETH
For reference only. You assume all risk.
The platform-wide long/short ratio is 3.51, meaning 77.8% are long and 22.2% are short.
A ratio above 1 means there are more long positions; below 1 means there are more short positions. But remember: the more one-sided the ratio, the more cautious you should be about a move in the opposite direction.
#ETH
For reference only. You assume all risk.