On-chain data shows both the Bitcoin leverage ratio and the futures open interest has spiked up recently, a sign that may turn out to be bearish for the crypto’s price.
Bitcoin Estimated Leverage Ratio And Open Interest Surge Up
As pointed out by an analyst in a CryptoQuant, the BTC futures market seems to have been heating up during the past day.
To understand the leverage ratio, two other metrics need to be looked at first. They are the “open interest” and the “derivatives exchange reserve.”