As Bitcoin maintains its advantage in a wide range of crypto ecosystems regardless of market conditions, Coinglass data shows that open interest is red, the negative trends facing the market are heavily heavy on assets.
Crypto Market continues to witness a repeated recession shortly after the recent Bull Run, when Bitcoin hit its all-time high on July 13th.
Nevertheless, the data provided by the source shows that the slump in Bitcoin prices has also expanded to the futures market. Open interest in BTC has plummeted 1.32% on its last day, indicating it has weakened optimism among investors.
142,930 BTC only on CME
Frequent declines in market value have resulted in substantial wipeouts of open interest in Bitcoin futures, but the disastrous market situation suggests that bears may be emerging.
In particular, the amount of BTC committed on active contracts on all crypto exchanges fell to 703,420 BTC on July 30, worth around $82.82 billion.
Of these, only 142,930 BTC, worth around $168.1 billion, is registered in CME, the world’s leading and most diverse derivatives market.
While recent liquidation events have largely affected traders who have opened long positions in major cryptocurrencies, recession means that they either end their trades on their own will or have been liquidated and the traders have finished their positions.
So traders are not willing to lose more money as the market remains uncertain. Therefore, they are closing their contracts more and more.
In particular, it is not surprising that BTC’s decline in open interest. Amid the broad uncertainty in the global crypto market, all major altcoins are also seen facing a major recession.
This suggests that momentum is declining, but also suggests that interest in key cryptocurrencies is declining as the Bulls may have exited amid negative price measures.
