According to Odaily Odaily, Coinbase Institutional stated that despite market volatility in November, relevant indicators show that leverage and speculative positions have significantly declined, which may lay a more solid foundation for the year-end market.
Data indicates that open interest in BTC, ETH, and SOL perpetual contracts decreased by 16% month-on-month; US spot ETFs saw outflows of $3.5 billion in BTC and $1.4 billion in ETH; and the funding rate for BTC perpetual contracts once fell to two standard deviations below the 90-day moving average before rebounding.
Coinbase Institutional believes that with systemic speculative leverage having fallen from around 10% in the summer to 4%–5%, the market structure is healthier and less sensitive to sharp corrections in the short term.
