Bitcoin open interest has seen a sharp decline in the last month, which one analyst says could form a “solid bottom” for it to climb back from.
Bitcoin open interest has dropped off as the cryptocurrency’s price has slid over the past month, which an analyst argues could see Bitcoin hit a bottom and spark a “renewed bullish trend.”
Open interest in terms of Bitcoin (BTC) has seen its “sharpest 30-day drop of the cycle” at around 1.3 million BTC, currently worth $114 billion with Bitcoin trading at $87,500, analyst “Darkfost” posted to CryptoQuant on Sunday.
The cascading price of BTC over the past few weeks “continues to trigger liquidations,” pushing traders to double down or readjust their strategies. However, it now appears investors are halting futures trading to “reduce risk exposure.
