Bitcoin is slowly stabilizing after the dramatic flash crash that briefly sent its price plunging to $101,000 last weekend. The event caused widespread liquidations across the derivatives market and rattled trader confidence, leaving market sentiment deeply shaken. 

On-chain data from CryptoQuant shows that Bitcoin’s open interest variation fell to negative 25 in the aftermath of the flash crash, its lowest reading in 2025. This decline highlights a market that has been cleansed of excessive leverage, but the question is whether this points to a major rebound or the start of a deeper correction.

Bitcoin Open Interest Sinks Into Extreme Fear Territory

According to on-chain analytics platform CryptoQuant, Bitcoin’s open interest variation, an indicator measuring changes in the total number of active futures contracts, recently entered the Extreme Fear zone. Particularly, the open interest reached a low of around negative 25 points, its lowest level so far in 2025. 

This metric had previously reached similar lows during BTC’s last major correction earlier in the year, when it dropped to around negative 25. However, the last time the Bitcoin open interest dropped below this negative 25 level was in mid-2023.

The latest reading around negative 25 shows Go to Source to See Full Article
Author: Scott Matherson