Bitcoin futures spiked to $575.6 billion during early trading hours on March 24, up 10.97% per day. Bitcoin Futures Open Interest (OI) is a key indicator of market activity, sentiment, and potential price direction.
Between March 21 and March 24, Bitcoin futures opened interest (OI) and experienced significant fluctuations. On March 21, the OI was $52.83 billion, reaching just $52.86 billion on March 22, a negligible increase of 0.06%.
The following day, on March 23rd, it fell to $51.87 billion, down 1.87%. However, actual actions unfolded on March 24th, with OI rising 10.97% to $57.56 billion. The spikes rose 4.62%, following the price of Bitcoin, which rose from $83,804 on March 23 to $87,674 on March 24.
Coinglass data shows that certain exchanges stand out in terms of a significant increase in OI. BINGX led the pack with an astounding 121.15% surge, bringing the OI to 9.02K BTC (approximately $790 million).
Gate.io increased 26.25% to raise its OI to 85.88K BTC (approximately $7.53 billion), while Bitunix rose by 17.66% to 51.85K BTC (approximately $4.55 billion). Bingx’s percentage jump was the most dramatic, but its absolute OI remained modest compared to large players like Gate.io, making a significant contribution to the entire OI pool.
Meanwhile, Binance, the biggest exchange with OI of 110.43K BTC ($96.9 billion), experienced a more gentle 9.86% increase.
Robust growth at gate.io and bitunix signals increased activity across medium and low-rise exchanges.
It is likely that several factors contributed to the surge in profits opened on March 24th. The 4.62% Bitcoin price rally was a clear catalyst, and price rises often attracted traders to the futures market, particularly for long positions where they bet on further profits. Market sentiment and speculation also played a role in the rapid growth of OI, particularly Bingx’s 121.15% leap.
The rise in prices caused a surge in futures activity, but exchange-specific catalysts could further promote increases. For example, BINGX’s distinctive growth could be attributed to low initiation base or platform incentives such as low fees and promotions, while Gate.io and Bitunix could benefit from a larger user base and established liquidity. Additionally, leverage and margin trading probably amplified the spikes in OI.
The 10.97% OI jump and a 4.62% price rise show bullish sentiment. An increase in OI over price increases suggests that traders are actively positioning to earn more profits. However, this rapid growth, especially in small exchanges like Bingx, can amplify price movements, but shows a growing speculation that could increase the risk of increased volatility. Pairing with leverage increases open interest and the likelihood of liquidation. A sudden pullback could force sales and further accelerate downward pressure.
Regarding the OI distribution across the exchange, Binance holds 16.83% of its total OI at $96.9 billion, while a 9.86% growth slowed the market average of 10.97%. Meanwhile, Gate.io’s 26.25% surge pushes the OI to 85.88k BTC, indicating a potential change in advantage between exchanges.
Variations in the time frame of OI change revealed that the short-term shifts in the short-term shifts were not dramatic, revealing that Kraken leads the 1-hour change at +1.22% and Bitget leads the 4-hour increase at +1.82%. The 24-hour window controlled by BINGX captures most of the activity and suggests a central burst of trade.
The OI/24 hour volume ratio provides additional insight. The DELIBIT’s 4.0109 ratio indicates a lower trading turnover rate compared to OI, suggesting a long-term position, while the Gate.io’s 2.1339 ratio reflects higher activity consistent with OI growth. Lower ratios often indicate aggressive short-term trading.
Post-Bitcoin futures jump 10% as price rises frenzied as price rises first appeared on dark exchanges.
