Part 1 Advanced The Market Maker’s Exchange Checklist (Liquidity, Latency, and Risk Controls) Market makers and HFT desks: evaluate exchanges on execution quality, liquidity, latency, fees, margin, and security — with a WhiteBIT walkthrough. Open guide This article is more than 2 years old...
Return of Bitcoin leverage signals impending market volatility
Year's biggest single-day surge seen in futures contracts
Quick Take
- Over the past 24 hours, Bitcoin witnessed a remarkable surge, breaking the $28,000 mark, while its dominance in the market capitalization rose above the 50% threshold.
- There was a revival of spot buying, resulting in over $150 million worth of Bitcoin being withdrawn from exchanges, as shown below.
- According to Coinglass, open interest also saw a significant rise.
- ‘Open interest' refers to contracts traded but not yet liquidated by an offsetting trade or an associated exercise or assignment. It provides an indication of the liquidity and activity in a particular market.
- The total Bitcoin in open interest contracts has reached a substantial 475,000 units, a peak not witnessed since March.
- Open interest now comprises over 2.2% of the Bitcoin market capitalization, nearing the year-to-date high.
- This suggests an increase in futures contracts, potentially implying greater volatility and trading volume.



















