#MetaplanetBTCPurchase
Geopolitical tensions shake the crypto market again. Israel's airstrike on Iran a while ago triggered a sharp correction in Bitcoin's price. In a short time, the price of BTC briefly plunged to around US$103,000, before eventually recovering to US$105,000.
The rapid and extreme movement of Bitcoin's price has left many traders and investors wondering: is this just a temporary retracement, or is it the beginning of a deeper correction?
Binance Open Interest Correlation Becomes a Key Signal
One interesting indicator comes from Binance. Joao Wedson, an on-chain analyst and CEO of Alphractal, revealed in his analysis on Saturday (14/06) that the correlation between Open Interest (OI) on Binance and Bitcoin's price is currently sending signals that should be watched closely.
According to Wedson, this correlation is now approaching a very critical level and could indicate that the crypto market and Bitcoin are preparing to enter a phase of high volatility.
“When the correlation drops significantly (≤ 0.1), it often indicates opposing behavior between price and Open Interest (OI). Historically, this condition often precedes significant spikes in volatility in Bitcoin's price,” he explained.
Geopolitical tensions shake the crypto market again. Israel's airstrike on Iran a while ago triggered a sharp correction in Bitcoin's price. In a short time, the price of BTC briefly plunged to around US$103,000, before eventually recovering to US$105,000.
The rapid and extreme movement of Bitcoin's price has left many traders and investors wondering: is this just a temporary retracement, or is it the beginning of a deeper correction?
Binance Open Interest Correlation Becomes a Key Signal
One interesting indicator comes from Binance. Joao Wedson, an on-chain analyst and CEO of Alphractal, revealed in his analysis on Saturday (14/06) that the correlation between Open Interest (OI) on Binance and Bitcoin's price is currently sending signals that should be watched closely.
According to Wedson, this correlation is now approaching a very critical level and could indicate that the crypto market and Bitcoin are preparing to enter a phase of high volatility.
“When the correlation drops significantly (≤ 0.1), it often indicates opposing behavior between price and Open Interest (OI). Historically, this condition often precedes significant spikes in volatility in Bitcoin's price,” he explained.