Ethereum Open Interest Hits Lowest Level Since March Amid Range-Bound Trading

Ethereum's open interest declined to its lowest level since March, reaching 12.49 million ETH on Wednesday.

This decrease in open interest could support price action despite fading demand.

ETH has been range-bound between $2.62K and $2.78K, with leverage capital continuing to dwindle.

The decline in open interest reflects diminishing speculative appetite and profit-taking, according to Bitfinex analysts.

The drop in OI indicates traders are closing positions to take profits, while demand is fading.

However, low leverage limits the scope for a price decline to accelerate through liquidations.