Shoutout to that brother in the square saying "LINK is undervalued, now is the bottom"—which dimension of the bottom are you looking at?
I checked the data panel, LINK's funding rate is +0.0088%, the highest among the assets I’m watching. OI at $485M, OI/MC ratio is 6.91%. What about the price? The 4h candlestick shows it's only 22.2% from the 60th percentile, current price at $9.656 still a bit off from the recent high of $10.87. A high funding rate suggests that the long positions in contracts are paying to stay alive, but the price hasn’t caught up. I’ve seen this structure before; it reminds me of the last time on Bed #1—contract sentiment leads spot, and in the end, the longs blow themselves up.
Today, LINK saw $126.6K in long liquidations, while shorts were only $34.1K, giving a long to short liquidation ratio of nearly 4:1. If you say it’s undervalued, the longs on the contract side seem to agree with you, but the problem is they are already paying for your viewpoint.
Comparing to Bed #1, ETH's funding rate is +0.0029%, with long and short liquidations nearly even (long $17.1M and short $18.4M), OI/MC at 12.28%. While Bed #1 hasn’t established a structure, at least it’s not just one-sided sentiment holding on. LINK’s current state feels more like the longs are betting on an unconfirmed direction.
I personally hold a 25% position in LINK, with an average price slightly lower than the current, but I have no plans to add to my position. The Fear & Greed Index is at 27, still in the Fear zone, and until I get a signal on the weekly chart, I’ll just keep counting my pills. I mentioned last week I’d observe for 7 days; today marks the 3rd day, waiting for a structure.
If you’re holding spot and not moving, that’s on you, but if you’re in with a long contract, I suggest you calculate how much this funding rate is eating into your costs daily. #LINK
I checked the data panel, LINK's funding rate is +0.0088%, the highest among the assets I’m watching. OI at $485M, OI/MC ratio is 6.91%. What about the price? The 4h candlestick shows it's only 22.2% from the 60th percentile, current price at $9.656 still a bit off from the recent high of $10.87. A high funding rate suggests that the long positions in contracts are paying to stay alive, but the price hasn’t caught up. I’ve seen this structure before; it reminds me of the last time on Bed #1—contract sentiment leads spot, and in the end, the longs blow themselves up.
Today, LINK saw $126.6K in long liquidations, while shorts were only $34.1K, giving a long to short liquidation ratio of nearly 4:1. If you say it’s undervalued, the longs on the contract side seem to agree with you, but the problem is they are already paying for your viewpoint.
Comparing to Bed #1, ETH's funding rate is +0.0029%, with long and short liquidations nearly even (long $17.1M and short $18.4M), OI/MC at 12.28%. While Bed #1 hasn’t established a structure, at least it’s not just one-sided sentiment holding on. LINK’s current state feels more like the longs are betting on an unconfirmed direction.
I personally hold a 25% position in LINK, with an average price slightly lower than the current, but I have no plans to add to my position. The Fear & Greed Index is at 27, still in the Fear zone, and until I get a signal on the weekly chart, I’ll just keep counting my pills. I mentioned last week I’d observe for 7 days; today marks the 3rd day, waiting for a structure.
If you’re holding spot and not moving, that’s on you, but if you’re in with a long contract, I suggest you calculate how much this funding rate is eating into your costs daily. #LINK