Leverage Wiped Out Despite Open Interest ATHsSep 7, 2021
Open interest in ETH futures hits an all-time high, pushing ETH above $4,000, just short of its ATH at $4,200.
High open interest can be seen as traders starting to open more futures positions, most often with some amount of leverage.
Looking at the long-term funding trend, the current funding rates at ~0.05% are much lower to the prior peaks of ~0.20%. Low, stable funding implies a balanced as demand isn’t skewed towards either longs or shorts.