In August 2025, Bitcoin's open interest on Binance surpassed $10 billion, witnessing a surge in institutional demand and potential short squeeze conditions.
Ethereum Open Interest Surge
Ethereum's open interest on Binance increased by 46% over 30 days, reaching $10 billion in August 2025. This is the highest level in recent months, coinciding with a price rise to about $4,300, nearing its all-time high of $4,867.17 set on November 10, 2021.
Impact of Institutional Investors
Institutional demand has significantly influenced Ethereum's recent performance. By July 2025, total trading volumes in Ethereum ETFs exceeded $117 billion, with $2.18 billion inflows recorded in just one week. Notable buyers include BitMine Immersion Technologies, which has acquired around 1.2 million ETH. Such large purchases have reduced ETH available on exchanges, potentially leading to price increases under high demand.
Market and Regulatory Environment
The cryptocurrency market in 2025 has been shaped by regulatory influences and policy changes. The resolution of the Ripple-SEC case and new regulations in the U.S., along with the U.S. president's order allowing cryptocurrency inclusion in retirement plans, have created clearer operating rules for the cryptocurrency markets. Combined with high open interest and institutional demand, these factors set the stage for monitoring Ethereum's developments in the coming weeks.
Thus, the open interest in Ethereum on Binance has reached new heights, and combined with high institutional demand and changes in the regulatory environment, it creates favorable conditions for potential price growth. Analysts continue to watch market dynamics and the possibility of short squeezes.
