Bitcoin News: Futures See $7.4B Exit as Longs Tighten Grip — Market Reset Coming?

The chart above is an aggregated open interest delta. Increases are shown in green bars and decreases in red bars. Red bars indicate large net reductions from late March into April 1, 2025. The daily decrease was steepest at $13 billion marking a pessimistic news for Bitcoin.

Bitcoin 7- day delta in open interest by exchange || Source: Alphractal

According to the aggregated funding rate, the bars stayed mostly green, even as open interest dropped sharply. The funding rate was above 0% almost all the time, with only a few very short periods of negative funding.

It implies that while many positions were liquidated, most of the remaining positions are still long.

Falling open interest and a positive funding rate indicate that short-term liquidations were due to over levers positions. Nevertheless, the overall bullish sentiment remains as traders are still holding long positions despite the correction.

BTC Price Corrects After Topping $100K, Bitcoin News Cycle Turns Negative

Meanwhile, Bitcoin recently peaked above $100,000 but has since corrected. According to the Glassnode chart shared by ali_charts, Bitcoin was trading at $82,418.89 as of March 30, 2025. It has fallen closer to the +0.5 standard deviation band, which is at $94,280.

This correction places Bitcoin below this upper pricing band. That indicates after a strong rally, Bitcoin is cooling. However, the current price is still above the mean MVRV band of $76,180 and the realized price of $43,739.87.

Bitcoin MVRV extreme deviation pricing bands | Source: Glassnode

Conversely, the MVRV bands are useful in showing whether Bitcoin is overheated or undervalued. In the past bull markets, Bitcoin has hit the +1.0 standard deviation level. That band now sits at $112,380.

The recent decline to around $82,000 may, therefore, be a sign that Bitcoin is rebalancing after a period of extended growth.

Liquidations Fuel Volatility While Sentiment Holds Steady

Sudden price moves were caused by large liquidations early in the week. High leverage is a time when these sharp swings are common. Besides, data from the funding rate and open interest show that many traders were forced out of positions.

However, traders holding longs have not backed down even with this. The fact that the funding rate is still positive means that the long bias is still intact. Falling open interest sharply often clears excess leverage from the market, which can stabilize price action.

According to data from Alphractal and Glassnode, the market is just adjusting after a rally. Price is now moving toward the mid-MVRV bands, leverage is resetting, and traders may be preparing for the next phase.