Funding rates (FR) are starting to cool. At the same time open interest (OI) is dropping off. FR dropping means leveraged long traders aren't willing to pay a premium in order to keep their positions open anymore. OI dropping means fewer new positions are being opened in the futures market. What does this tell me? The data indicates that the large number of long positions that were opening up and fueling this recent decline are starting to subside. Leveraged long traders have been hammered and are starting to lick their wounds rather than come back for more pain. Does this mean the pain is over? Unlikely. While fewer positions are being opened, of the positions that are, we can see on the liquidation maps posted in an earlier post that there are still a lot of leveraged traders attempting to long the bottom. And the higher timeframe liquidation maps are still heavily stacked to the downside. This means we could have some sideways chop, or perhaps even another drop, before the market has put in its floor. #Crypto #Bitcoin #OnChain #Funding #oilmassage bitcoin:native