What is Open Interest (OI)? Many people can't explain it clearly!
Open Interest (OI) refers to the total size of positions in a contract that are currently open. It's different from how much has been traded over a period of time.
The higher the open interest, the more positions may be liquidated or stopped out during sharp price movements. That's why open interest is often used as a reference for how crowded leveraged positions are.
Futures contracts aren't essential knowledge—you can trade spot just fine if you're not familiar with them yet.
$BTC 74050.07 (-1.43%)
Open Interest (OI) refers to the total size of positions in a contract that are currently open. It's different from how much has been traded over a period of time.
The higher the open interest, the more positions may be liquidated or stopped out during sharp price movements. That's why open interest is often used as a reference for how crowded leveraged positions are.
Futures contracts aren't essential knowledge—you can trade spot just fine if you're not familiar with them yet.
$BTC 74050.07 (-1.43%)