Open interest in ETH on Binance hits record — the market is close to overheating
🔼 Futures OI for Ethereum on Binance reached an all-time high of $12.2 billion — a strong influx of leveraged longs.
— The price is holding around $4,700, which increases the likelihood of a sharp movement.
— The growth in positions is supported by high liquidity, low holding costs, and an abundance of USDT/USDC on the exchange.
❗️ Risk: with funding above 0.08% and the dominance of futures over spot, a signal of overheating will appear. In such a case, even a small decline could trigger a chain of liquidations.
⚡️ Situation — a classic before an impulse: record OI, stable rate, and overloading in longs. As long as funding is under control — growth is possible. But with a sudden long squeeze, the pullback will be sharp and may provide a strong entry point for those waiting for a correction.