This Bitcoin move isn’t a “hard stand” — leverage is loosening first.
PANews, citing CoinDesk, reports that as of the time of publication, Bitcoin futures open interest is about 652,000 BTC, close to the year-to-date low; it had peaked earlier in the year at around 800,000 BTC. The funding rate for perpetual contracts has turned negative again, with the average across major exchanges at about -0.3%, indicating that short sellers are paying to maintain bearish positions.
BTC fell more than 2% over the past 24 hours, trading around $82,800. One observation is that once long-chasing capital exits, price action is more easily supported by spot demand; another is that while negative funding persists, crowded shorts can also cause volatility to spike suddenly.
Do you care more about watching the OI recovery first to 652,000 BTC, or the funding rate turning back positive first at -0.3%?
Figure 1: Bitcoin futures cool down as shorts pay to bet on a drop · Source: partial screenshot of the page
Image source: https://www.panewslab.com/zh/articles/01a0e763-e077-714b-90fe-154f3d6658a2
PANews, citing CoinDesk, reports that as of the time of publication, Bitcoin futures open interest is about 652,000 BTC, close to the year-to-date low; it had peaked earlier in the year at around 800,000 BTC. The funding rate for perpetual contracts has turned negative again, with the average across major exchanges at about -0.3%, indicating that short sellers are paying to maintain bearish positions.
BTC fell more than 2% over the past 24 hours, trading around $82,800. One observation is that once long-chasing capital exits, price action is more easily supported by spot demand; another is that while negative funding persists, crowded shorts can also cause volatility to spike suddenly.
Do you care more about watching the OI recovery first to 652,000 BTC, or the funding rate turning back positive first at -0.3%?
Figure 1: Bitcoin futures cool down as shorts pay to bet on a drop · Source: partial screenshot of the page
Image source: https://www.panewslab.com/zh/articles/01a0e763-e077-714b-90fe-154f3d6658a2
