Why Is $RARE Pumping? Let Me Explain
RARE recently received a Binance Monitoring Tag, and because of that, many traders started selling spot and opening short positions on futures, expecting the price to fall.
But this is where the market psychology gets interesting.
When traders keep selling spot and opening shorts because they expect a dump, that short pressure can sometimes become fuel for the opposite move. If RARE keeps moving higher, those shorts can come under pressure and may start closing their positions.
In the Long/Short Statistics, we can see around 51% of traders are short, while around 49% are long on the short-term timeframes.
Another thing I’m watching is Open Interest. We can see OI around $12.4M, up around 496% in the last 24 hours. That’s a huge increase, showing that a lot of new positions have entered the market.Volume is also increasing strongly, showing that trading activity around RARE has picked up significantly.
And there’s another thing I noticed on the whale order chart. We can see two major buying activities already happened, and both times the price moved higher after those big buys came in. This suggests that larger buyers are still active around RARE. Funding is also heavily negative, around -1.14% on Binance and -1.30% on Bybit, showing that the short side is quite aggressive.
So, when we put everything together, we’re seeing heavy short positioning, a massive increase in OI, rising volume, and strong whale buying activity. That’s why I think RaRE is pumping.
RARE recently received a Binance Monitoring Tag, and because of that, many traders started selling spot and opening short positions on futures, expecting the price to fall.
But this is where the market psychology gets interesting.
When traders keep selling spot and opening shorts because they expect a dump, that short pressure can sometimes become fuel for the opposite move. If RARE keeps moving higher, those shorts can come under pressure and may start closing their positions.
In the Long/Short Statistics, we can see around 51% of traders are short, while around 49% are long on the short-term timeframes.
Another thing I’m watching is Open Interest. We can see OI around $12.4M, up around 496% in the last 24 hours. That’s a huge increase, showing that a lot of new positions have entered the market.Volume is also increasing strongly, showing that trading activity around RARE has picked up significantly.
And there’s another thing I noticed on the whale order chart. We can see two major buying activities already happened, and both times the price moved higher after those big buys came in. This suggests that larger buyers are still active around RARE. Funding is also heavily negative, around -1.14% on Binance and -1.30% on Bybit, showing that the short side is quite aggressive.
So, when we put everything together, we’re seeing heavy short positioning, a massive increase in OI, rising volume, and strong whale buying activity. That’s why I think RaRE is pumping.
