BIT Official: Leveraged liquidation, Bitcoin awaits direction choice

Golden Finance reports that on April 8, BIT Official published today’s chart, stating that bitcoin futures open interest has fallen significantly, shrinking from $42 billion in October 2025 to the current $21 billion, indicating that the market has gone through a round of deep deleveraging. Current on-exchange leverage is clearly on the low side; even modest inflows of capital are enough to create an amplified effect on price. The movement of the funding rate also reflects a similar signal; in recent times, the rate has swung violently between -12% and +7%, and it no longer stays positive for a long time as it did before, with long and short forces rapidly switching.
Judging from liquidation data, although the geopolitical situation remains tense, the market has not seen large-scale blowups. The most recent concentrated forced liquidation occurred on February 6, more than two months ago; leverage from the prior period has basically been cleared, and the positioning structure is relatively healthy.
In the short term, bitcoin has not yet formed a clear directional trend, but the market is in a highly sensitive state. Any new catalyst—whether capital inflows or a shift in narrative—could trigger price swings beyond expectations.