Matrixport: The Bitcoin Market Structure is Evolving, with Long-term Capital Gradually Becoming the Dominant Driving Force
Matrixport released a chart today indicating that Bitcoin is once again following historical trends, with prices nearing new highs and open interest rising to a historic high of $34 billion. However, funding rates remain close to zero, suggesting that the current trend is driven by spot buying rather than leveraged contracts.
The subdued funding rates imply limited market speculation bubbles, reducing the risk of sharp corrections triggered by leverage. As a result, volatility remains low in this cycle, with little likelihood of significant fluctuations in the short term.
The Bitcoin market structure is evolving, with long-term capital gradually replacing short-term speculation as the dominant driving force.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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