Derivatives
Long/short ratio
The proportion of traders or open interest positioned long versus short in a perpetual futures market.
A ratio of 2.0 means twice as many accounts (or twice as much open interest, depending on the metric) are long. Extreme readings are contrarian signals because the crowded side has the most to lose on a reversal and is the fuel for a liquidation cascade.
Exchanges publish account-based and position-based versions, and top-trader versions that weight large accounts. They often disagree, which is itself information: retail long while top traders are short is a common setup before a drop.
BetG8 reads these alongside funding and whale positioning rather than in isolation.
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Where you will see it on BetG8
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Frequently asked questions
- What does "Long/short ratio" mean?
- The proportion of traders or open interest positioned long versus short in a perpetual futures market.
- Why does long/short ratio matter for prediction markets?
- BetG8 reads these alongside funding and whale positioning rather than in isolation.