Matrixport: Bitcoin and Ethereum Leveraged Positions Accelerating Liquidation

BlockBeats News, November 17th, Matrixport published a market commentary stating that the current market is in a clear deleveraging phase, with increasing risks for those maintaining high positions. Ethereum's open interest in futures contracts has dropped by 50%, indicating a rapid contraction of leveraged funds. Against this backdrop, overall risk appetite is under pressure. Bitcoin is approaching a key support level at $93,000, and liquidity in this range may weaken further in the short term.

The highly crowded long positions in futures in the fourth quarter have been largely cleared out, with the pressure at the leverage end being released periodically. The next thing to watch is that ETF holdings are currently relatively concentrated; if the market continues to weaken, these funds may experience further selling pressure, thus bringing new liquidity challenges.