Bitcoin Price Surges 35% Amid Declining Open Interest

Bitcoin has made significant gains since its August low, rising by 35% over that period. At the same time, Bitcoin-denominated open interest has fallen by about 20%. This divergence indicates a disconnect between price movements and leveraged positions in the derivatives market.

Glassnode reported on September 29th that Bitcoin's price had climbed 35% from its August low, but BTC-denominated open interest fell by around 20% over the same period. As a result, open interest has dropped to its lowest level since March.