Yei Finance this drop is pretty brutal—
$CLO 24 hours straight, it’s been dumped down 43.4%, with the current price at $0.218.
Breaking down the order book, it’s actually quite typical: on the futures side, long positions keep getting liquidated. After liquidation, it should have calmed down, but open interest not only didn’t fall—it increased instead, suggesting someone is continuing to pile into short positions below. Market sentiment has completely flipped into panic, and the spot market can’t withstand the selling pressure either.
With market cap down to $28.18 million and 24h trading volume at $6.81 million, liquidity has clearly been drained. With volume like this matching the position structure, it’s not very realistic to try to bottom-fish directly in the short term. You’d need to wait for open interest to drop and the liquidation wave to end before there’s any chance of stabilization.
Until we see a clear sign that the selling is easing, it’s better to miss the move than to rush to catch the falling knife.
#Yei #CLO #on-chain observation