According to @AltcoinGordon, Bitcoin (BTC) open interest on Binance has continued to decline following the recent Federal Reserve policy update, signaling ongoing market deleveraging and a possible setup for a bullish reversal. Historical trading patterns suggest that such drops in open interest often precede upward price movements as weak hands are flushed out of the market. This trend is consistent with previous years, where a reduction in leverage was followed by renewed bullish momentum. Traders are advised to monitor open interest and price action closely for confirmation of a reversal (Source: @AltcoinGordon on Twitter, June 21, 2025).

According to Cas Abbé, nearly $2 billion in Bitcoin open interest has been wiped out over the past two days, signaling significant liquidations and volatility in BTC markets (source: @cas_abbe on Twitter, May 4, 2025). Despite this, the funding rate remains positive, indicating that late bullish traders are still attempting to buy the dip. This suggests that BTC could see further downside before the funding rate turns neutral or negative, a key indicator that typically marks a market bottom. Traders should be cautious as additional volatility is likely when the US market opens, with further downside risk if bullish sentiment persists without price support (source: @cas_abbe).