The Tether USD (USDT)-denominated Bitcoin (BTC) perpetual contract is showing signs of overleverage, with the “open interest to USDT reserves ratio” hitting an all-time high of 0.593 on November 10, according to CryptoQuant data. Reached.
The company's CEO, Ki Yong-joo, said: said The current level is 2.7 times higher than in February, when the ratio crossed the danger zone for the first time in 2024.
Furthermore, he said It is unclear how high Bitcoin will rise, but once it is deleveraged, there will be a painful fall. However, he added that he remains bullish on BTC in the long term.
Bitcoin Registered CryptoQuant hit a new all-time high of $93,523.65 within hours after taking over as CEO. This move was quickly followed by a 5% correction, with BTC price currently trading around $88,701.71.
The consequences of the potential unwinding were not reflected in the revision, as liquidations were still down 5% over the past 24 hours, totaling approximately $872 million. According to Go to the coin glass.
healthy indicators
Despite the risk of unwinding leverage putting downward pressure on BTC price, other on-chain metrics remain healthy. CryptoQuant Analyst Martoon pointed out Retail investor demand has reached a 52-month high in the past 30 days. He added:
“With Dogecoin’s soaring price, high funding rates, and a spike in Google searches for Bitcoin, it’s impossible to ignore that retail trading is back in full force.”
Additionally, according to Glassnode, reportThe recent surge in Bitcoin prices is mainly driven by spot buyers on the Coinbase market.
The daily cumulative volume delta (CVD) of Coinbase's Bitcoin spot market reached $143 million, approaching the peak of $152 million seen in March.
This move in the US market reflects steadily increasing pressure on the buyer side, reinforcing strong demand from investors who see Bitcoin as an increasingly valuable asset.
Since July, we have seen strong buyer interest in Coinbase every time Bitcoin has rallied, indicating that spot market demand is strong.
This demand trend extends to spot ETFs as well, with Bitcoin Spot ETF's U.S. assets under management jumping $8.8 billion over the past 30 days, outpacing the $6.9 billion increase in CME futures open interest.
The preference for spot-led ETFs reflects a broader shift in investor sentiment toward direct exposure over futures-based speculation.
Perpetual futures also hit a recent premium peak of $1.59 million per hour on November 12th, but are still below March levels, with physical purchases, rather than leverage, driving Bitcoin's current rally. This shows that it is a powerful driving force.
mentioned in this article
