The Net Shorts chart displays two key metrics for a financial instrument, likely Bitcoin, over time: Price (USD) and Net Shorts.

Price (USD) (top section, white line): Represents the market price of the asset in USD, plotted on the primary y-axis. It enables the identification of price trends and volatility.

Net Shorts (bottom section, blue line): Shown on the secondary y-axis, this metric measures the cumulative proportional change in net short positions. It is calculated based on price and open interest changes: when the price decreases and open interest rises, Net Shorts increases, reflecting stronger bearish positioning; when the price increases and open interest decreases, Net Shorts decreases, indicating a reduction in short positions. A sharp rise in Net Shorts alongside a price decline may signal excessive bearish leverage, suggesting a potential price rebound. A moderate or stable increase in Net Shorts during a price drop indicates a more sustainable downtrend with balanced participation.

The chart, featuring a dark theme and a zoomable x-axis, supports detailed analysis of the relationship between Price and Net Shorts, using separate y-axes. The legend distinguishes each series, and the absence of a navigator and scrollbar keeps the focus on the data. This chart equips traders to assess market dynamics and anticipate price movements, using Net Shorts as an indicator of bearish leverage and trend sustainability.