It has been a volatile year for Bitcoin, as the coin has relinquished all its gains and is now trading below its yearly opening price.
Bitcoin has steadied above $87,000 after a period of massive price capitulation. The apex cryptocurrency retreated to a multi-month low of $80,620 on November 21 but has since recovered to its current market price of $87,551, marking an 8.6% increase in four days.
Still Below Yearly Opening Price
Despite this positive price action, Bitcoin remains in the red on a longer timeframe. BTC has corrected by 4.17% in the past seven days and 22.7% over the course of the last 30 days.
Furthermore, the cryptocurrency has retraced by 6.31% from its yearly opening price of $93,455, per TradingView data. Meanwhile, it was trading 8% below the mark when CryptoQuant verified author JA Maartunn called attention to the bearish price action in an X post on Tuesday.
Notably, the chart shows that Bitcoin has trended more above the yearly opening price than it has done below. Before the recent drop, BTC only stayed below $93,455 between late February and April. Aside from this, the asset had remained largely profitable to holders who bought at the start of the year.
Ethereum also shares a negative year-to-date performance, but with a much larger downside than BTC’s. The second-largest cryptocurrency by market cap is down 16% YTD, according to Maartunn, and 12.1%, according to CoinMarketCap data at the time of writing.
Additionally, the margin widens further across most of the other top 10 cryptocurrencies by market cap, though there are exceptions. Solana, Dogecoin, and Cardano have dropped by 27.8%, 52.6%, and 50.7% from their opening prices at the start of the year. Notably, the exceptions are XRP, BNB, and Tron, which have recorded YTD growth of 6.8%, 21.5%, and 7%, respectively.
With this in view, the analyst concluded that it has been a volatile year. Recall that Bitcoin once posted a 30% year-to-date gain at its all-time high of $126,220 in October, before bears took over the market and dragged prices much lower.
Bitcoin Open Interest Drops 15% Post October 10 Crash
Analyst Rand identified in a separate tweet that Bitcoin open interest has continued to wither since the historic October 10 crash. The post, citing data from Checkonchain, shows a 15% drop in BTC futures OI, from $68 billion to $58 billion. This suggests that over $10 billion has been liquidated since then as market uncertainties have heightened.
Meanwhile, data from Coinglass suggests a steeper decline in OI. As of October 10, the exchange BTC futures OI stood at $90.24 billion. Currently, this metric stands at $60.53 billion, showing a wipeout of $29.71 billion (32.9%).
Remarkably, analysts see this as a bullish indicator for Bitcoin. A decline in open interest alongside prices suggests market leverage unwinding. Historically, this precedes a potential trend reversal.
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