The blockchain analytics firm Glassnode shared its weekly report, which features various key metrics and on-chain data related to the leading cryptocurrency.
Spot Metrics
The spot price significantly increased over the past week, after re-testing the sub-$114,000 level and climbing back towards $121,000. This brought renewed momentum into the spot market, with several sectors showing signs of increased user activity. The Relative Strength Index (RSI) increased to 47.5, indicating a rise in investor interest. However, since the RSI remains below the midpoint, caution is warranted to confirm the new trend.
Spot volume decreased from $7.3 billion to $5.7 billion, representing a 22% reduction, indicating decreased market engagement.
Futures Metrics
Open Interest, the metric measuring the total number of active positions, decreased to $44.1 billion from $44.6 billion, which may signify a slight decline in leveraged trading, likely due to profit-taking or liquidations. The funding rate for long positions specifically declined by 2% to $2.9 million, indicating a cooling bullish sentiment, while the demand for these positions remains high.
Options Metrics
Open interest in the options market has increased compared to futures, reaching $42.4 billion, marking a 6.74% increase from last week. This can be attributed to growing market engagement driven by speculative positions and various trading strategies. The volatility spread has dropped to 10.45% from 31.97% last week, indicating that traders are expecting less volatility.
The past week has been significant for the cryptocurrency market, with both positive and negative trends emerging. Despite the increase in spot prices and heightened interest in the options market, it's essential to monitor open interest trends and overall trading volumes for a more accurate market analysis.
