Bitcoin leverage wiped clean: analyzing the 5th biggest week in liquidations YTD, its market implications

2023-4-28 11:00

Quick Take Bitcoin (BTC) Futures Open Interest (FOI) is the total amount of funds (USD Value) allocated in open futures contracts. Currently, 334,000 Bitcoin is allocated in FOI contracts, the lowest for one year — which is healthy. While the Estimated Leverage Ratio broke below 0.2 for only the fourth time in 2 years, leverage has been wiped. Crypto Margin makes up for only 70k Bitcoin (21%), the lowest recorded on Glassnode — which saw 30,000 Bitcoin liquated just this week. As a result, this week was the fifth biggest week in total liquidations to the long and short side. Open Interest: (Source: Glassnode) Leverage: (Source: Glassnode) Crypto Open Interest: (Source: Glassnode) Liquidations: (Source: Glassnode)

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