Ethereum’s Current Open Interest: What Does It Mean?
Ethereum’s open interest recently crossed the significant threshold of $10 billion. What does this signify for crypto investors?
Ethereum’s open interest hitting over $10 billion indicates a noticeable increase in institutional interest. As investors prepare for a potential surge toward the $5,000 mark, both retail and institutional players exhibit confidence in the market.
Open interest represents the total number of outstanding derivative contracts held by market participants. A high open interest level typically shows increased trading activity, which can lead to greater market volatility. Currently, the uptrend in open interest is mainly due to long positions taken by institutions.
What are the implications of such a surge?
