According to a report published by crypto analysis company CryptoQuant, a structural rebalancing has occurred in Bitcoin derivatives markets. The development in question took place after the cryptocurrency reached a record level in October last year. Analysis shows that the dollar value of total open interest in the derivatives market has fallen significantly since its record high.
Dramatic Decline in Bitcoin Open Positions
Total open interest in the Bitcoin futures market reached its historical peak with approximately $47.5 billion on October 7, 2025. On the same day, Bitcoin reached a new all-time high. However, in the four and a half months since this date, open positions have decreased to 21.6 billion dollars. This represents a decrease of approximately 54 percent.
Structural Leverage Decrease and Its Reasons
According to CryptoQuant’s findings, there are three main reasons for this sharp decline in open interest. Firstly, with the correction in prices after the record level, many of the risky positions opened with leverage were closed or liquidated. Thus, the share of speculative positions in the market was directly reduced.
Secondly, since the price of futures contracts is tied to the value of Bitcoin, the decrease in price also reduced the total dollar value per contract. That is, even if there was no major change in the number of contracts, the total open interest shrank in dollar terms.
The third factor is the process that CryptoQuant defines as the “structural deleverage period”. Following the enthusiasm observed in the market following record levels, a gradual exit of high-risk and heavily leveraged transactions was initiated.
CryptoQuant shared the assessment that “There is a complementary and permanent contraction in the open position, which points to a broader position reset in the derivatives market, beyond the temporary fluctuation.”
In the published charts, the decrease in open positions that started immediately after the record and continues continuously is noteworthy.
Reduction in Market Fragility
Similar periods of compression have been shown to reduce market fragility in the past. In an environment where the open position is reduced to low levels, the possibility of triggering large-scale liquidations also decreases. Systemic risks may increase, especially when the total open position is very high and one-sided. However, it is reported that these risks have become more controlled with the current low levels.
From the perspective of the derivatives market, it is considered that leverage rates have decreased significantly in the current situation, so the market has a more stable outlook compared to record levels.
Expectations for Bitcoin Derivatives in the Future
According to CryptoQuant’s analysis, it will be decisive how the open position will increase in the derivatives market in the coming period. It is predicted that the increase in open positions, together with strong price movements and a solid demand in the spot market, may indicate a healthy trend and accumulation period.
On the other hand, a warning is shared that if leveraged transactions increase rapidly again, market fragility may come to the fore again. In the continuation of the analysis, it was stated that not only the amount of open positions but also the quality of this growth will play a determining role in which phase the market will enter.
