According to Joao Wedson, Founder of Alphractal and verified author at CryptoQuant and CoinMarketCap, more than 70% of altcoins currently have a Long/Short Ratio above 1, indicating a clear dominance of long positions over shorts across the crypto market.
According to him this trend reflects a heavy concentration of bullish bets — one that may be contributing to the market’s recent choppy, low-momentum behavior.
Wedson notes that when the long/short ratio is elevated, markets often seek balance, typically by flushing out overextended positions.
This correction can result in a sentiment flip — where longs get liquidated, sparking renewed short interest, and eventually setting the stage for short squeezes that drive prices sharply higher.
While the high percentage of long-biased traders may suggest near-term crowding and risk of liquidations, Wedson sees this setup as constructive. Historically, such environments have preceded rapid market rebalancing and upside volatility as shorts rush to cover — especially after an initial wave of long liquidations.
Tip from Wedson: “Watch closely if there have been many long liquidations in a particular crypto — this is often the trigger for a squeeze.”
Traders eyeing altcoins should stay alert to shifting positioning metrics, as the current imbalance could quickly convert into breakout opportunities across the market.
