Bitcoin prices have performed well, rising 8% between October 14 and 15, and 11.5% in the past 30 days. The current price is close to $68,000, far exceeding the S&P 500 index, which rose 3.8% during the same period. However, as demand in the Bitcoin futures market soared to $38 billion, some people are worried that the increase in leverage may bring risks.

The number of open contracts for Bitcoin futures reached its highest level since 2023, reaching 566,270. This shows that the market's interest in leveraged trading has increased significantly, but it also means potential market volatility and chain liquidation risks. Generally speaking, when market prices fluctuate violently, they will wait for prices to stabilize before re-entering the market, and the recent price increase has provided them with confidence.

From October 11 to 14, US-listed Bitcoin spot ETFs had a net inflow of $810 million, reflecting the interest of institutional investors and market optimism. Although the futures premium once reached 10%, the market remained within the reasonable range of the bull market, indicating that the long and short forces were relatively balanced.

Although the increase in leverage demand may bring liquidation risks, the liquidation amount in the derivatives market was less than US$70 million during the 8.6% fluctuation of Bitcoin price on October 15, showing that everyone has remained restrained in the use of leverage. Despite the strong demand in the Bitcoin futures market, the market structure is relatively healthy and the possibility of large-scale liquidation in the short term is not high. $BTC