FORM has climbed nearly 14% over the past week, yet sellers control the majority of the token's perpetual futures volume across ten trading venues. Spot buyers keep accumulating, but a negative long-to-short ratio and heavy retail participation raise doubts about whether the rally can hold.
FORM has gained nearly 14% over the past week, but the advance is running into resistance in the token's derivatives markets. Across all ten venues tracked, including centralized and decentralized exchanges, the long-to-short ratio for FORM has turned negative, with sellers now holding the edge.
Sellers control more than half of volume
At press time, sellers account for 53% of FORM's volume in the perpetual market, according to CoinGlass. The exchange's data shows total perpetual volume at $329 million, of which roughly $174.6 million is attributed to sellers. This imbalance is one of the clearest signs that the rally faces pressure.
Retail traders, not whales, drive the move
Retail traders have largely driven the rally over the past day, while whales have maintained their existing positions, according to CoinGlass' Whale Retail Delta. The metric tracks which side of the market has more influence over price, and its movement confirms retail traders had more control during the recent drop. Yet the delta stays on the positive side, reading 0.39, meaning whale activity cumulatively still weighs on FORM. The concentration of retail traders adds to the skepticism that this group could offload its accumulated buy-side positions.
Spot buyers keep accumulating
Despite the pressure from predominantly short perpetual positioning, spot buyers remain active. Traders purchased roughly $15.65 million worth of FORM, indicating continued accumulation, though the netflow reading stood at -$1.14 million. This remains the largest cumulative buy seen in the market in over fifteen days, while other intervals in between have shown only moderate buying activity.
For now, the overall outlook remains mixed, and there is a high chance that FORM could see a significant decline from its current level despite its accumulated gains.
Source: AMBCrypto
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