Analyst: Binance BTC futures open interest drops 17% in under a month, liquidation volume hits highest level since 2021 over the past three months

on November 12, analyst Darkfost stated Bitcoin contract open interest on Binance dropped from $10.6 billion to $8.8 billion in less than a month, a decline of approximately 17%. During the same period, the 180-day moving average rose from $8.4 billion to $8.6 billion. The current open interest is approaching the long-term moving average, indicating that market leverage levels continue to decrease.

Liquidation data shows that Binance's monthly liquidation volumes over the past three months have reached their highest levels since 2021, exceeding $1.4 billion in August, around $1.1 billion in September, and approximately $1.3 billion in October. With November not yet halfway through, liquidation volumes have already surpassed $520 million.

Darkfost noted that continued deleveraging helps reduce cascading liquidation risks and improves the Bitcoin market structure, although the market remains under pressure from leveraged position adjustments in the short term.