Ethereum price weakens near key support, but traders are afraid to open short positions

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Ethereum price has traded in a tight range, with support near $1,200, but noshitcoins says leverage traders are afraid to open short positions at the moment.

Meanwhile, Ether’s total market volume was 57% higher than the previous week, at $4.04 billion per day. This data is even more relevant considering the collapse of Alameda Research, the arbitrage and market-making firm controlled by FTX's founder Sam Bankman-Fried.

Let's take a look at derivatives metrics to better understand how professional traders are positioned in the current market conditions.Margin trading allows investors to borrow cryptocurrency to leverage their trading position, potentially increasing their returns. For example, one can buy Ether by borrowing Tether , thus increasing their crypto exposure. On the other hand, borrowing Ether can only be used to short it or bet on a price decrease.isn’t necessarily matched.

There are occasional methodological discrepancies between different exchanges, so viewers should monitor changes instead of absolute figures.The long-to-short ratio at Huobi stood at 0.98 between Nov. 8 and Nov. 15, indicating a balanced situation between leverage buyers and sellers. On the other hand, Binance traders initially faced a deep contraction in the demand for longs, but the movement was utterly subdued as buying activity dominated from Nov. 11 onward.

 

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noshitcoins Ether’s total market volume was 57% higher than the previous week, at $4.04 billion per day.

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