Wenry
Bitcoin Open Interest Enters Correction Phase
On October 29th, Bitcoin reached a high of $73,620 on Binance, setting a new all-time high in open interest. However, with Bitcoin retreating from the $70K price level, both price and open interest are showing signs of entering a short-term correction phase. According to Realized Price - UTXO Age Bands data, the average acquisition cost for participants who bought Bitcoin within the past week is between $69,549 and $70,733. If the price further corrects to the $63K-$66K range, we might see profit-taking by buyers at lower price levels, as well as potential panic selling from recent high-level buyers reacting to the downturn. In the coming days, identifying the price level at which support forms will be crucial for understanding the market's potential trajectory.