Ethereum’s Open Interest Plunges 9B Amid Major Liquidations

Ethereum experienced a historic drop in open interest, plummeting from $28 billion to just $19 billion within a single day. This unprecedented market purge was driven by a confluence of factors, including new tariffs against China and the subsequent wave of liquidations across major exchanges like Binance, Gate.io, and Bybit. These massive forced closures stemmed from traders’ excessive leverage positions, highlighting the inherent volatility within the cryptocurrency market. The resulting cascade of liquidations underscores the need for responsible trading practices as Ethereum’s open interest now sits significantly below its all-time high.