Bitcoin Futures Market Sees Sharpest Deleveraging Since 2023
The Bitcoin futures market recently experienced its sharpest deleveraging phase since 2023, according to CryptoQuant analyst Darkfost. This event was marked by a violent decline in Binance's Bitcoin futures open interest, which briefly dropped below its 180-day moving average.
The deleveraging was driven by forced liquidations and an aggressive unwinding of leveraged positions. However, despite the sharp decline, Binance's Bitcoin open interest remains at $9.6 billion, still above the $8.3 billion 180-day moving average.
What makes this episode notable isn't just the speed of the decline, but also what happened after. Traders have already re-entered the market, pushing open interest back above the 180-day average and contributing to a price rebound.