As of March 29, 2024, the open interest (OI) in Bitcoin futures reached a historic high, approaching $38 billion. The OI for this trading instrument had been at $26 billion at the start of March, meaning that it increased by $12 billion in less than a month.
According to The Block, the open interest in Bitcoin futures has grown by more than 100% since the beginning of the year when it was $17.2 billion. During this period, the price of the leading cryptocurrency has grown by 66%, reaching a new All-Time High (ATH).
Analytical reports indicate that OI represents the total value of all outstanding Bitcoin futures contracts on exchanges. It indicates increased market activity and traders’ sentiment towards this asset.
One of the possible reasons for the rise in OI could be the influx of funds into Bitcoin-based spot ETFs. As of March 29, the total net inflow of assets exceeded $12 billion, with BlackRock’s IBIT fund having accumulated over 200,000 BTC.
It should be noted that the OI for Ethereum futures is $13.8 billion at the time of writing. This indicator has increased by almost 90% since the beginning of 2024. Meanwhile, the price of Ethereum has risen above $4000 in anticipation of the Dencun upgrade, setting a record high since 2021.
