The Bitcoin market saw another rebound in the past week as prices leaped by over 12% to hit a local peak of $95,600. Amid the ongoing market euphoria, prominent blockchain analytics company Glassnode has shared some important developments in the Bitcoin derivative markets. Related Reading: Bitcoin ‘Apparent Demand’ Makes Sharp Rebound – Will BTC Breakout Soon? Bitcoin Short Bets Rise Despite Price Rally, Setting Stage For Volatility Despite a bullish trading week, derivative traders are approaching the Bitcoin market with skepticism, as evidenced by a build-up of leveraged short positions. In a recent X post on April 25, Glassnode reported that Open Interest (OI) in Bitcoin perpetual swaps climbed to 218,000 BTC, marking a 15.6% increase from early March. In line with market activity, this rise in Open Interest aligns with increased leverage, introducing the potential for market volatility via liquidations or stop-outs. Generally, a rise in Open Interest amidst a price rally is expected to signal long-term market confidence. However, Glassnode’s findings have revealed an opposite scenario. Despite Bitcoin’s bullish strides in the past week, short market positions appear to b ..
Support the originator by clicking the read the rest link below.
