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Bitcoin: Read this before you plan to HODL or sell for profits

March 2, 2024
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Bitcoin: Read this before you plan to HODL or sell for profits
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  • Bitcoin futures open interest is at its highest level ever.
  • The coin’s exchange reserve has declined to its lowest in six years.

Bitcoin’s [BTC] futures open interest on centralized exchanges has rallied to an all-time high, according to data from Coinglass. 

BTC Open Interest

Source: Coinglass

BTC’s futures open interest measures the total value of outstanding futures contracts that have not been settled or closed by market participants.

When an asset’s open interest increases, it suggests that new money is flowing into the market. This signals that traders are either opening new positions or maintaining existing ones. It is often regarded as a bullish sign. 

Conversely, decreasing open interest may indicate that traders are closing out their positions, potentially due to low market activity or a shift in sentiment.

At press time, BTC’s futures open interest was $27.09 billion, climbing by 17% in the last week. This surge comes amid BTC’s recent price rally above the $63,000 price mark for the first time since 2021.

AMBCrypto found that BTC’s current futures open interest has exceeded levels seen in November 2021, when the leading coin traded at an all-time high of over $68,000. 

As BTC futures open interest climbs, its funding rate across exchanges remains positive, per Coinglass data. 

When an asset sees a positive funding rate, it suggests a higher demand for long positions compared to short positions. This occurs when the current trend is bullish, and there is a significant influx of buyers in the market.

The last time BTC’s funding rate was negative was on 20th October.

See also  Bitcoin to rally if THIS condition is met, per analyst

Exchange reserve craters to a six-year low

At press time, BTC exchanged hands at $62,014, according to CoinMarketCap data. Despite the recent price rally and the profitability of holding the coin, selling pressure remains low.

A look at the coin’s exchange activity revealed a decline in exchange reserve. According to data from CryptoQuant, the BTC exchange reserve has sat at its lowest level since the year began. 


Read Bitcoin’s [BTC] Price Prediction 2024-2025


At press time, BTC’s exchange reserve was 2.01 billion BTC. For context, the last time the amount of coins held across exchanges was this low was in December 2018. 

Source: CryptoQuant

When BTC’s exchange reserve witnesses a decline, it suggests a drop in selling pressure. This means investors are keen on holding on to their coins for future gains rather than selling them for momentary profit. 

Next: BlockDAG presale nears sellout as ADA price spikes and ScapesMania eyes top listing

READ ALSO

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Spot Bitcoin ETF Options – How U.S exposure is set to soar after CFTC’s notice


  • Bitcoin futures open interest is at its highest level ever.
  • The coin’s exchange reserve has declined to its lowest in six years.

Bitcoin’s [BTC] futures open interest on centralized exchanges has rallied to an all-time high, according to data from Coinglass. 

BTC Open Interest

Source: Coinglass

BTC’s futures open interest measures the total value of outstanding futures contracts that have not been settled or closed by market participants.

When an asset’s open interest increases, it suggests that new money is flowing into the market. This signals that traders are either opening new positions or maintaining existing ones. It is often regarded as a bullish sign. 

See also  How Bitcoin's $70K hike unveiled something interesting about traders

Conversely, decreasing open interest may indicate that traders are closing out their positions, potentially due to low market activity or a shift in sentiment.

At press time, BTC’s futures open interest was $27.09 billion, climbing by 17% in the last week. This surge comes amid BTC’s recent price rally above the $63,000 price mark for the first time since 2021.

AMBCrypto found that BTC’s current futures open interest has exceeded levels seen in November 2021, when the leading coin traded at an all-time high of over $68,000. 

As BTC futures open interest climbs, its funding rate across exchanges remains positive, per Coinglass data. 

When an asset sees a positive funding rate, it suggests a higher demand for long positions compared to short positions. This occurs when the current trend is bullish, and there is a significant influx of buyers in the market.

The last time BTC’s funding rate was negative was on 20th October.

Exchange reserve craters to a six-year low

At press time, BTC exchanged hands at $62,014, according to CoinMarketCap data. Despite the recent price rally and the profitability of holding the coin, selling pressure remains low.

A look at the coin’s exchange activity revealed a decline in exchange reserve. According to data from CryptoQuant, the BTC exchange reserve has sat at its lowest level since the year began. 


Read Bitcoin’s [BTC] Price Prediction 2024-2025


At press time, BTC’s exchange reserve was 2.01 billion BTC. For context, the last time the amount of coins held across exchanges was this low was in December 2018. 

Source: CryptoQuant

When BTC’s exchange reserve witnesses a decline, it suggests a drop in selling pressure. This means investors are keen on holding on to their coins for future gains rather than selling them for momentary profit. 

Next: BlockDAG presale nears sellout as ADA price spikes and ScapesMania eyes top listing
Tags: BitcoinHODLPlanprofitsReadSell

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Memecoin Project Obama6900 (OBX) Joins the Fight Against Malaria with Long-Lasting Insecticidal Nets (LLINs)

Memecoin Project Obama6900 (OBX) Joins the Fight Against Malaria with Long-Lasting Insecticidal Nets (LLINs)

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Tezos 2023 Outlook: An Overview of Tezos (XTZ)

Tezos 2023 Outlook: An Overview of Tezos (XTZ)

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UK risks regulating NFTs the wrong way, says Mintable CEO

UK risks regulating NFTs the wrong way, says Mintable CEO

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Capturing the Growth of Asset-Backed Finance via Blockchain-Enabled Opportunities

Capturing the Growth of Asset-Backed Finance via Blockchain-Enabled Opportunities

August 3, 2024
How to Earn Keys to Boost Your HMSTR Airdrop

How to Earn Keys to Boost Your HMSTR Airdrop

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As Bitcoin sinks to $41K, what next for BTC price predictions

As Bitcoin sinks to $41K, what next for BTC price predictions

January 19, 2024
MEVpool, The Best Bandaid We Have For MEV

MEVpool, The Best Bandaid We Have For MEV

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Paima Studios launches Web3 engine, bridging legacy gaming on Cardano

Paima Studios launches Web3 engine, bridging legacy gaming on Cardano

April 29, 2023
Ethereum’s challenge – Record low fees and a 6% price decline mean…

Ethereum’s challenge – Record low fees and a 6% price decline mean…

August 3, 2024

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