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Ethereum Open Interest Nears $58 Billion Amid Institutional Shift From Bitcoin, Raising Volatility Concerns

2025-08-05 03:35:45

Main Idea

Ethereum's open interest reached a record $58 billion in July 2025, surpassing Bitcoin, driven by institutional shift and growing confidence in ETH's market potential.

Key Points

1. Ethereum's open interest surged to $58 billion in July 2025, marking a 100% increase since June 2025, while Bitcoin's open interest declined by 15% over the same period.

2. Institutional participation is growing, with CME’s ETH open interest reaching a record $7.85 billion.

3. Analysts warn that the build-up of leverage could trigger rapid market corrections and volatility.

4. Ethereum's growth reflects a broader market shift towards its expanding DeFi and smart contract applications.

5. Expert analyst Merlijn The Trader notes the high leverage could lead to a 'vertical move' in price.

Description

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