Bitcoin's notional open interest in futures and perpetual futures has decreased by approximately 18%, falling from $37 billion to $30.2 billion over one month, concurrent with a 14% decline in the cryptocurrency's spot market price, according to Coinglass. Despite the drop in notional open interest, the number of active contracts has remained steady at over 500,000 BTC. Positive funding rates indicate a continued inclination towards bullish bets during this period.
This stable open interest in BTC terms, combined with steady funding rates, suggests renewed demand for long positions even as some bullish bets are unwound. Laurent Kssis of CEC Capital notes that traders are still actively positioning long orders, supplemented by significant hedging due to market uncertainty.
Notably, Bitfinex has seen increased margin long positions since late June, and options market activity indicates a preference for topside bets. This suggests that the market may be anticipating a future price rise.