Binance cryptocurrency exchange reached a new all-time high in open interest, surpassing $8.3 billion in crypto derivatives. This surge in activity coincides with a sharp increase in Bitcoin prices, which recently hit a historic high following Donald Trump win in the U.S. presidential election. Blockchain analyst Burak Kesmeci noted that Binance now accounts for 35% of the global open interest on crypto futures, further establishing the exchange’s dominance in the market.
BNB Price Set for a Rally as Binance Open Interest Soars to All-Time High
According to on-chain data from CryptoQuant, Binance’s open interest in crypto derivatives surged to an unprecedented $8.3 billion, marking a 10.24% increase in just 24 hours. This record-breaking figure underscores the heightened trading interest on Binance, which now holds a substantial portion of global open interest in crypto futures.
Kesmeci remarked that any increase over 3% in a day signals significant shifts in trading patterns, hinting at volatility spikes in the coming days.
Additionally, the increase in open interest aligns with Binance’s ongoing growth, as it now captures 35% of the open interest on crypto futures worldwide. This volume emphasizes Binance’s critical role in influencing broader market trends.
Courtesy: CryptoQuant
The recent surge in open interest can be attributed to Bitcoin price rally, which recently hit a new all-time high of $74K. This rally triggered liquidations of short positions across major exchanges, with over $370 million in short positions erased and total liquidation volume reaching approximately $580 million. The sharp upward movement in Bitcoin’s value had a ripple effect on the broader crypto derivatives market.
Simultaneously, the aggregated open interest across major futures exchanges hit an all-time high of $23.3 billion, reflecting broader market enthusiasm.
BNB Price Prediction and Price Action
As Binance’s open interest hits record levels, BNB price is also positioned for potential gains. Recently, BNB chart formations have shown the cup and handle pattern, often a precursor to an upward price breakout. More so, analysts observed a resistance level around $700 for BNB, a threshold that could be breached if the current trend persists.
With recent price action showing a possible rebound, BNB is anticipated to strengthen further if the current open interest trend sustains. At press time, BNB price rallied a 2.6% reaching $583 over the past 24 hours. The trading volume surged by 46.55%, totaling $2.26 billion, and BNB’s market cap climbed to $84.12 billion.
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