Curve DAO (CRV) has declined 13% as of early September 16, according to reports from AMBCrypto. The sell-off has been accompanied by significant on-chain activity, with active addresses reaching approximately 5,868 and transactions growing to 45,536 simultaneously. On-chain volume surged to a high of $167.9 million, marking the second-highest level since September 3. However, the surge in volume while prices declined indicates traders are selling more aggressively, which isn't typically a positive sign for assets sustaining upward momentum.
According to data from CoinGlass reported by AMBCrypto, the liquidation disparity shows long liquidations at $885,550 compared to short liquidations at $71,550, representing a ten-times liquidation disparity in favor of shorts. The Funding Rate data shows a heavy skew in favor of shorts over the past 24 hours, declining from 0.0097% on September 15 to -0.0046% as selling pressure continues. This wide gap typically indicates that sellers hold more profit than traders betting long, adding to downside pressure on CRV.
As reported by AMBCrypto, the liquidation heatmap identifies clusters of unfilled buy and sell orders on the chart, which can pull price toward them. Currently, few orders sit below the current price, limiting downside pull on CRV. With limited clusters below price compared to above price, there's a high tendency that price is likely to eventually rebound, especially once market conditions align to be more bullish. The heavy selling pressure suggests that sellers could face exhaustion, potentially leading to a market reversal.
