Ethereum, the second-largest cryptocurrency, is experiencing a decline in trader interest, as indicated by a dip in open interest (OI). This pullback in OI, after reaching its peak, suggests that the market is cooling down. According to CryptoQuant’s data, Ethereum’s OI has fallen from $13 billion to $11.5 billion, signaling a decrease in market activity. […]
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- Ethereum’s OI drops to $11.5B, indicating a market cooldown.
- $400M of Ethereum positions liquidated since June 5.
- SEC closes ETH 2.0 probe, Pantera Capital eyes $100M buy, showing institutional interest.
Ethereum, the second-largest cryptocurrency, is experiencing a decline in trader interest, as indicated by a dip in open interest (OI). This pullback in OI, after reaching its peak, suggests that the market is cooling down. According to CryptoQuant’s data, Ethereum’s OI has fallen from $13 billion to $11.5 billion, signaling a decrease in market activity.
Open interest represents the total value of outstanding derivative contracts (long and short positions) in the market. A higher OI typically suggests a more active market with increased trading activity and potential volatility. Ethereum’s OI reached an all-time high of about $9.5 billion during the previous bull run when the price peaked at $4,891 in 2021.
Despite not surpassing this performance in the current cycle, the leading altcoin saw its OI climb to $13 billion, setting a new record. This led to an overheated market for Ethereum.
Following the opening of a large number of leveraged positio…
The post Ethereum “Open Interest” Pullbacks to $11.5B, Overheated Markets Cool Off appeared first on Coin Edition.
