Bitcoin Futures Reach Record High, Signaling Leverage-Driven Rally
Bitcoin’s (BTC) open interest has surged to an all-time high of $80.91 billion, indicating that leverage is fueling the latest price surge. On May 22, this metric hit its peak across crypto exchanges.
On Binance, the world’s largest crypto exchange by derivative volume, open interest climbed to $13.60 billion, the highest since december 2024. This surge in interest coincided with a spike in liquidations, totaling $246 million across major crypto assets.
The rise in open interest closely followed Bitcoin’s price, which increased by 8.46% since the start of the week. During this period, open interest grew by 23%, a much faster rate then Bitcoin’s price.
Despite this, retail interest in Bitcoin appears to be waning. According to Google Trends, search interest for Bitcoin has declined significantly since November. The search volume score is now at 22, down from 100 in May 2021.
Even during the november rally, Bitcoin’s search volume only reached 64. This suggests that retail investors are less engaged than during the 2021 crash. Instead, institutional investors seem to be driving Bitcoin’s growth.
Donald Trump’s victory in the U.S. elections and his pro-crypto stance have likely boosted bitcoin’s credibility among institutions. This newfound legitimacy could explain the current surge in open interest and price.
