Bitcoin’s open interest in derivatives has reached 96 billion USD, a notable increase compared to 2022. While this surge supports BTC’s bullish price movements, it also enhances liquidation risks due to high speculative leverage.
The market has matured since 2022, with stablecoin-backed collateral surpassing crypto-margined positions. This shift stabilizes collateral volatility, reducing the risk of sharp market shocks amidst ongoing heightened trading activity.
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