How Bitcoin’s slight 3% rise caused an Open Interest surge

Bitcoin’s Open Interest surged to over $19 billion after a $2.5 billion Futures liquidation.
BTC faces strong resistance at $63,400, with recent price hovering around $62,700 after a 3% rise.

Bitcoin’s [BTC] Open Interest experienced significant volatility following a recent price surge, with several positions being closed.

Despite this, Open Interest in Bitcoin Futures has maintained high levels, and a notable spike has even been seen in recent days, signaling continued trader interest.

Bitcoin Futures experience a shake-up

Data from Glassnode revealed that during Bitcoin’s price rally, approximately $2.5 billion worth of Futures Open Interest was forcibly closed, likely flushing out many short sellers.

However, the percentage reduction in Open Interest across the top three perpetual exchanges remained below 5%, indicating that the substantial impact did not lead to a dramatic market collapse.

Source: Glassnode

This highlighted the market’s resilience, which, even amidst heightened volatility, could continue to affect leveraged traders.

Historically, the total cost of leverage during Bitcoin’s March all-time high (ATH) reached as high as $120 million weekly.

This figure has dropped to $15.3 million per week in recent weeks, reflecting a significant reduction in speculative, long-biased trades as the market entered a range-bound phase.