CryptoQuant: The current market selling pressure is still strong, and the rise driven by derivatives usually lacks sustainability

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According to ChainCatcher, CryptoQuant analyst Darkfost points out that the market is currently experiencing the largest 24-hour open interest growth in recent times. Historically, derivative-driven increases often lack sustainability.

During the strong bull market phases in November and December 2024, open interest grew by 16% and 15% respectively, with the spot market's positive momentum strongly supported by derivative market activity. However, this time the price has only risen by 4.2%, compared to similar past events that led to price increases of 10% and 7%. This difference indicates that selling pressure in the market remains strong.

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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