🚨 THIS IS WHY ALTCOINS ARE BLEEDING
This move has nothing to do with “retail leaving.”
The pressure you’re seeing is coming from funding and leverage, not from small players panicking.
Over the past weeks, altcoin funding rates turned aggressively positive, meaning:
Too many longs
Too much leverage
Too many crowded positions
When leverage builds up like this, bad news isn’t required for prices to fall.
A small dip is enough.
That dip triggers:
→ Long liquidations
→ Forced selling
→ Stops getting hit
→ Further downside
→ Repeat
This is exactly what’s happening now.
The data confirms it:
Open interest is declining
Long liquidations are accelerating
Spot demand is largely absent
This is a leverage flush, not a structural collapse.
And here’s the part most people misunderstand:
This is actually healthy.
Sustainable upside does not happen when everyone is already long.
Markets need excess leverage to be removed before real trends can form.
Until that process finishes, altcoins will remain under pressure.
Price isn’t falling because fundamentals changed it’s falling because positioning was wrong.
Watch leverage, not narratives.
