#Bitcoin Futures Speculation Cools Down#

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Overview

Bitcoin futures market speculation cools as traders close positions amid market uncertainty. Data shows that speculative momentum in Bitcoin futures open interest (OI) is declining, with the medium-term trendline (30-day SMA) peaking and slightly declining, while the short-term trendline (7-day SMA) has broken below the medium-term trendline. This indicates that traders are reducing their positions in response to market uncertainty.

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Analysis

Signs of cooling speculation in Bitcoin futures are emerging. According to Glassnode data, Bitcoin futures open interest (OI) is showing a decline in speculative momentum. The medium-term trendline (30-day SMA) has peaked and is now slightly declining, while the short-term trendline (7-day SMA) has broken below it. This indicates that traders are closing positions due to market uncertainty. This phenomenon suggests that traders are cautious about the market outlook and are reducing their risk exposure. This could be attributed to the recent heightened market volatility and uncertainty in the macroeconomic environment. The cooling speculation in Bitcoin futures could signal a shift towards a more cautious phase in the market, potentially leading to a slowdown in price fluctuations.

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Bitcoin futures open interest (OI) shows speculative momentum is declining.

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The medium-term trendline (30-day SMA) has peaked and is now declining slightly.

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The short-term trendline (7-day SMA) has broken below it.

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Traders are closing positions due to market uncertainty.

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