There are key driving factors behind the interim volatility, and both futures and options markets have seen a meaningful uptick in open interest (OI) since mid-October:

• 🟠 BTC Futures OI increased by $7.0B (+66%), with $1.1B flushed out this week.

• 🔵 BTC Options OI increased by $6.6B (+70%), seeing $2.3B closed out by both contract expiration and closed positions this week.

Open interest for both markets remain near multi-year highs, indicating that leverage is elevated, and is becoming a more dominant force in markets.