Bitcoin open interest hits record high as bulls stampede toward new BTC price highs
Aggregate open interest in Bitcoin (BTC) futures reached a record high of $72 billion on May 20, an 8% increase from the previous week. Institutional demand, particularly from the Chicago Mercantile Exchange (CME) and Binance, drives this leverage. Approximately $1.2 billion in bearish BTC liquidations is concentrated between $107,000 and $108,000. Rising concerns over U.S. fiscal debt and high yields on 20-year Treasury bonds may push investors towards Bitcoin as an alternative hedge. Gold remains the dominant asset but is less attractive due to its market cap and gains. A 5% reallocation of gold reserves into Bitcoin could lead to a $105 billion inflow. Institutional buying is crucial for Bitcoin to surpass $108,000, potentially triggering liquidations of short positions and driving prices higher. Current macroeconomic uncertainty continues to impact investor sentiment.
