#VietnamCryptoPolicy
Geopolitical tensions are once again shaking the crypto market. The recent airstrike by Israel on Iran triggered a sharp correction in Bitcoin prices. In a short period, the price of BTC plummeted to around US$103,000, before eventually recovering to US$105,000.
The rapid and extreme price movement of Bitcoin has left many traders and investors wondering: is this just a temporary retracement, or is it the beginning of a deeper correction?
Binance Open Interest Correlation as a Key Signal
One indicator that has drawn attention comes from Binance. Joao Wedson, an on-chain analyst and CEO of Alphractal, revealed in his analysis on Saturday (14/06) that the correlation between Open Interest (OI) on Binance and the price of Bitcoin is currently sending signals that warrant caution.
According to Wedson, this correlation is now approaching a very critical level and could be a sign that the crypto market and Bitcoin are preparing to enter a phase of high volatility.
“When the correlation drops significantly (≤ 0.1), it often indicates opposing behavior between price and Open Interest (OI). Historically, this condition has often preceded large spikes in Bitcoin price volatility,” he explained.
