Bitcoin Could See “More Pullback Than We Think,” Quant Explains Why
Summary
Bitcoin's Open Interest has followed a trajectory similar to November 2021, with a recent decline in the metric coinciding with a fall in the asset's price. The analyst suggests that if this pattern repeats, Bitcoin could experience a significant pullback. The Open Interest indicator is seen as a driver of price rallies but can also indicate overheating. The recent drawdown in Open Interest has led to a high number of liquidations, and the market's future trajectory remains uncertain. Bitcoin's price recently dropped to $60,700 but has since rebounded to over $64,000.
