API3 Price Rally Stuck Between Bullish Buys and Bearish Bias

The post API3 Price Rally Stuck Between Bullish Buys and Bearish Bias appeared on BitcoinEthereumNews.com.

API3, a decentralized oracle solution that aims to make real-world data accessible via blockchain APIs, saw its token price explode nearly 90% over the past seven days, peaking above $1.80. But in the last 24 hours, it dropped nearly 10%, sparking confusion among traders. Is this the start of a deeper correction, or just a short cooldown before more upside? Shorts Stack Up as Funding Rate Drops Funding rates on API3 flipped deeply negative over the past 24 hours. On August 19, the OI-weighted funding rate stood at -0.47%. By August 20, it plunged further to -1.10%. That means most traders are now paying to hold short positions, betting heavily on a price drop. API3 shorts in focus: Coinglass This shows aggressive short-side sentiment. Yet, the API3 price hasn’t collapsed. It dipped slightly from the peak, but API3 bulls haven’t fully backed off. So despite bearish bets piling up, sellers haven’t taken control at press time. For token TA and market updates: Want more token insights like this? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here. Smart Money Buys While CMF and Exchange Data Stay Bullish Under the hood, buyers are still stepping in. The Chaikin Money Flow (CMF) on the daily chart has climbed steadily from 0.04 to 0.10 over the last few hours, even while the API3 price cooled down slightly. CMF increasing despite a small price pullback suggests accumulation: more capital is flowing in than out. CMF is a volume-weighted indicator that shows if money is flowing into or out of a token based on price and volume. API3 keeps seeing steady money flow: TradingView Exchange reserves confirm this. Over the past 7 days (during the rally), API3’s exchange balances fell 30.5%, now sitting at 28.63 million tokens. At the same time, the top 100 addresses…