The post Bitcoin Open Interest Falls To $37B—Does This Spell Trouble for BTC? appeared on BitcoinEthereumNews.com.

Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing Strict editorial policy that focuses on accuracy, relevance, and impartiality Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Este artículo también está disponible en español. Open interest in Bitcoin trading is a crucial metric to assess the market’s current sentiment on the digital asset, including potential price movements. In theory, an increase in Bitcoin’s open interest suggests liquidity, which can also support an ongoing price trend. According to the latest Glassnode data, Bitcoin’s OI has dipped from $57 billion to $37 billion, or a loss of 35%, since the world’s top digital asset hit its all-time high.  Related Reading Interestingly, Bitcoin hit an all-time high of $108,786 on January 20th, the day United States President Donald Trump was inaugurated for a second term. Bitcoin is trading between $83k and $86k, down more than 22% from its peak, at the time of writing.  Bitcoin Open Interest And Its Possible Impact On Price Investors and holders use the open interest metric to assess the sentiment and potential market performance of the asset. A digital asset with a falling open interest means that traders and investors are closing their positions due to uncertainties or lack of confidence or are moving away from leveraged trading. Futures open interest has dropped from $57B to $37B (-35%) since #Bitcoin’s ATH, signaling reduced speculation and hedging activity. This decline mirrors the contraction seen in on-chain liquidity, pointing to broader risk-off behavior. pic.twitter.com/XPbXiHXlRS — glassnode (@glassnode) March 20, 2025 In Glassnode’s analysis, the drop in Bitcoin’s OI reflects a broader trend of decreasing on-chain activities and liquidities, where investors have less confidence…

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Filed under: News - @ March 21, 2025 9:22 pm