Current Affairs of Cryptocurrency and Fiat Markets

The indicator of Open Interest on Bitcoin over the past 2 weeks shows a positive trend. Deviations after a new step are small. This is evidence of an increase in the degree of confidence and returns to the industry of investors.

However, the growth of OI is not always a sign of bullish sentiment. This is only a potentially positive factor for the market. Other indicators show signs of recovery.

Meanwhile, CME and Bakkt futures have seen daily volume jumps since early April. In this scenario, there is a double meaning.

• OI displays the growth of activity directly bidding.
• Volumes of futures markets may speak of hedges on bull positions in anticipation of a drop in Bitcoin quotes.

The last point is due to the possible exit from the business of small miners who will not be able to compete with industry leaders after halving. In this case, part of the mined Bitcoins will enter the market in the region of 1–2 decades of May and will contribute to a short-term excess of supply over demand.