The Bitcoin futures open interest is increasing, surpassing $32 billion this week. This rise in open positions coincides with a rally that took the asset to a daily high of $114,000. Data from the CoinGlass platform suggests that traders are returning strongly to the market following recent uncertainty.
Volatility has recently set the market’s tone. Bitcoin showed a strong rebound, rising from a low of $107,453 to the $114,000 peak. This move was accompanied by an increase in both spot and futures volume. The Bitcoin futures open interest recovered notably from a low of $28 billion recorded on October 11. This follows a previous massive sell-off that resulted in $20 billion in futures liquidations.
Analysis from the firm Hyblock supports this renewed confidence. Their analysts noted that the cumulative volume delta (CVD) turned positive during the bullish rally. BTC’s funding rate also saw an uptick, indicating the move was primarily driven by the futures market. The recovery of open interest is crucial for stability. It shows traders are willing to take on risk again after the recent, devastating liquidation. This is a fundamental pillar for the digital economy.
Are traders targeting topside liquidity?
Hyblock analysts suggest that traders now have clear targets. As the price re-establishes itself in its new trading range, traders will begin to target the largest liquidity zones. The $114,000 to $115,000 range was precisely where the price absorbed topside liquidity in the recent move. However, not everything is purely bullish. Technical analyst Rakesh Upadhyay warned that sellers are expected to continue closing profitable positions at intra-day range highs.
The cryptocurrency market is showing renewed energy, led by Bitcoin’s rebound. Although the Bitcoin futures open interest reflects growing confidence, resistance at the range highs will be key. Bulls must defend the $107,000 support level to maintain momentum. The battle between short-term profit-taking and new bullish positions will define the next price direction in the short term.
