Quick Take

Current data shows an intriguing shift in the Bitcoin futures market. Bitcoin’s open interest, referring to the total number of funds poured into open futures contracts, has dipped below 1.9% of the market cap, representing roughly 373,000 Bitcoin according to Glassnode. This is one of the lowest levels seen this year, indicating a cooling of speculation in this digital asset class.

On the other hand, Bitcoin has previously established three local bottoms around the $25,000 mark, coinciding with similarly low open interest levels. This repeated trend suggests that $25,000 may act as a formidable support level for Bitcoin. While this stagnant open interest may signal a lack of short-term speculative interest, it also highlights a potentially stabilizing market, as traders seemingly show faith in the $25,000 support level.

Open Interest vs Market Cap

The post Bitcoin futures market stagnation hints at robust $25,000 support level appeared first on CryptoSlate.

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Filed under: Bitcoin - @ September 28, 2023 12:00 pm