# Deleveraging Articoli collegati

Bitcoin Traders Show Caution With Leverage As Market Uncertainty Spikes – Details

Bitcoin traders are exhibiting increased caution by reducing leverage in futures markets, as macroeconomic and geopolitical uncertainties rise. According to CryptoQuant analyst Darkfrost, the Estimated Leverage Ratio on Binance has declined from 0.19 to 0.15 in February, accompanied by a significant drop in open interest. This deleveraging reflects a strategic risk management approach rather than panic, as Bitcoin reserves remain stable. Factors contributing to this risk-off sentiment include new tariff announcements, geopolitical tensions, weaker-than-expected US economic growth, and rising inflation. While reduced leverage may cause short-term selling pressure, it lowers systemic risk and supports healthier price discovery. Bitcoin is currently trading near $67,965 with a modest weekly gain.

bitcoinist14 h fa

All about Ethereum’s derivatives reset as exchange reserves hit multi-year lows

Ethereum's derivatives market is undergoing aggressive deleveraging, with open interest collapsing by 66% to around $11 billion. This contraction, led by major exchanges like Binance and Bybit, was driven by cascading liquidations as ETH's price fell from over $4,000 to near $1,900. The liquidation heatmap revealed intense long squeezes around the $1,900 zone, with $189 million in positions liquidated in 24 hours. However, this flush of excess leverage has reduced systemic risk and may lead to more stable, defensive positioning. Simultaneously, exchange reserves dropped to a multi-year low of 16.1 million ETH, indicating strong accumulation by long-term holders and thinning sell-side supply. This combination of deleveraging and supply absorption is helping to stabilize prices in the $1,900–$2,000 range, though muted ETF demand continues to temper upside momentum.

ambcrypto2 giorni fa 06:31

Leverage Leaves XRP Market As Traders Shift Toward Caution: What Comes Next?

XRP is facing persistent selling pressure and struggles to regain higher price levels amid a cautious market environment. Traders are reducing risk exposure, as indicated by a broad decline in futures open interest across major exchanges. Data from CryptoQuant shows significant deleveraging, with Binance, Bybit, and Kraken experiencing substantial reductions in open interest. This trend reflects a shift away from speculative trading toward capital preservation, often seen during uncertain market phases. As a result, XRP's price action remains sensitive to shifts in demand, macroeconomic developments, and overall risk appetite in the crypto market.

bitcoinist02/12 07:03

BTC Halved, DAT Companies Face Billions in Paper Losses: Who is 'Selling to Stop the Bleeding'?

BTC's sharp decline from its $120,000 peak in late 2025 to around $60,000 has triggered significant unrealized losses for several Digital Asset Treasury (DAT) companies, forcing some to sell off crypto holdings to manage financial strain. Cango Inc. sold 4,451 BTC (nearly half its holdings) to repay a BTC-collateralized loan, as mining costs exceeded Bitcoin's current price. Empery Digital, which bought BTC near the peak at around $117,000, sold portions of its holdings to fund share buybacks and debt repayment amid a 57% unrealized loss. Bitdeer shifted from a “HODL” strategy to regularly selling mined BTC to prioritize cash flow. Sequans Communications became the first DAT company to sell Bitcoin (970 BTC) to redeem convertible bonds, highlighting debt-driven sell-offs. ETHZilla, an Ethereum-focused DAT, sold over 32,000 ETH to manage leverage and transition toward real-world asset (RWA) tokenization. These moves underscore the vulnerability of highly leveraged DAT firms in a bear market. While large players may hold on, mid-tier and smaller companies face pressure to deleverage, signaling a market shift from narrative-driven expansion to financial survival and operational sustainability.

Odaily星球日报02/11 10:35

What Really Triggered Feb. 5’s Bitcoin Crash? Jeff Park’s New Theory

Jeff Park attributes Bitcoin's sharp 13.2% decline on Feb. 5 to traditional finance mechanics rather than crypto-specific news. He argues the crash was triggered by broad-based deleveraging in multi-strategy funds following a significant risk-off event. This forced selling coincided with a surge in put options and record volume in BlackRock's IBIT ETF. Paradoxically, the ETF saw net inflows instead of outflows, suggesting the selling pressure came from derivatives and hedging activity. Park points to a rapid unwind of basis trades and short-gamma mechanics, where dealers were forced to sell into falling prices, exacerbating the drop. The snap-back recovery on Feb. 6 is framed as a positioning reset, indicating the event was primarily a technical breakdown driven by a change in fundamentals.

bitcoinist02/09 09:39

Bitcoin enters a reset phase: Whales sell as BTC leverage gets flushed

ambcrypto02/09 07:02

The Real Reason for the "February 5th Crash": A Case of Collateral Damage from Wall Street Deleveraging

On February 5th, the crypto market experienced a sharp crash, with Bitcoin briefly plummeting to $60,000 and over $2.6 billion in liquidations. The article argues that the sell-off was not driven by crypto-native factors but by a broader Wall Street deleveraging event, likely originating from multi-strategy hedge funds facing extreme losses in software stocks and other risk assets. Key evidence includes record-high trading volumes in Bitcoin ETFs like IBIT, dominated by put options, and unusually high correlation between Bitcoin and software stocks. Forced deleveraging triggered the unwinding of delta-neutral strategies (such as basis trades), causing a violent, cascade-like sell-off. This was exacerbated by negative gamma dynamics in the options market, where dealers were forced to aggressively sell underlying assets as volatility spiked. Despite the steep decline, Bitcoin ETFs saw net inflows—not outflows—suggesting the selling pressure came from paper/financial system positioning (e.g., hedge fund liquidations and dealer hedging), not long-term investor redemptions. The rebound on February 6th further indicated that traditional market-neutral capital re-entered to capture renewed basis trade opportunities. The author concludes that the crash was a result of accidental contagion from traditional finance deleveraging, not a crypto-specific crisis, and expects a strong rebound given Bitcoin’s deeper integration into global capital markets.

marsbit02/09 03:00

The Black Swan Revealed: The True Cause of This Bitcoin Crash

In a detailed analysis, Bitwise CIO Jeff Park explains the true cause behind the recent Bitcoin crash, attributing it to a complex interplay of traditional finance mechanisms rather than crypto-native factors. The initial trigger was a broad-based de-leveraging event within multi-strategy hedge funds, prompted by an extreme down day in software stocks and correlated risk assets—a statistically rare "black swan" event. This forced, indiscriminate selling included Bitcoin exposure, much of which was held in delta-neutral hedged positions like basis trades. The violent unwind then interacted with negative gamma dynamics in the options market. Market makers, who were structurally short gamma due to prior low volatility and client demand for puts, were forced to aggressively sell spot Bitcoin (including the IBIT ETF) as price fell, accelerating the downward move. This created a scenario where dealers effectively shorted into the sell-off, generating new ETF inventory and paradoxically preventing the expected massive outflows. Instead, the ETF complex saw net inflows. The analysis concludes that the crash was not driven by directional bearishness but by hedging and de-risking needs within traditional finance. This integration means that future rallies could be even more violent due to the same structural mechanics, highlighting Bitcoin's maturation within global capital markets.

marsbit02/08 00:36

The Black Swan Was This: The Real Reason Behind This Bitcoin Crash

Bitcoin experienced a sharp sell-off on February 5th, with prices briefly crashing to $60,000 and over $2.6 billion in liquidations. The primary catalyst was likely a broad-based de-leveraging event within multi-strategy hedge funds, triggered by extreme underperformance in software stocks and correlated risk assets. This forced liquidation included delta-neutral positions like basis trades (selling spot Bitcoin while buying futures), exacerbating the downturn. Despite the severe price drop, Bitcoin ETFs, including IBIT, saw net inflows of over $300 million, contradicting expectations of significant outflows. The sell-off was amplified by negative gamma dynamics in the options market, where dealers were short puts and forced to aggressively hedge by selling underlying assets as volatility spiked. The event highlighted Bitcoin's integration into traditional finance, with the initial selling pressure originating from non-crypto systemic de-risking rather than directional bearishness. The rapid rebound on February 6th suggested the sell-off was primarily technical and hedging-driven, not fundamental. The resilience of ETF inflows indicates underlying institutional demand, potentially setting the stage for a sharp upward move once market conditions stabilize.

Odaily星球日报02/08 00:33

What NEXO’s 83% credit drop signals about risk appetite in crypto

NEXO's retail credit withdrawals opened strongly in early 2025 but declined sharply throughout the year, signaling forced deleveraging and reduced risk appetite as market conditions shifted. A brief rebound mid-year was followed by a steep drop, with withdrawals near historic lows by late 2025, indicating widespread risk aversion. Similarly, Ethereum borrowing on Aave saw a cycle of rapid growth followed by a significant contraction, reflecting a broader reset in crypto leverage. Meanwhile, NEXO’s price broke key support levels, entering a pronounced downtrend with oversold conditions and persistent selling pressure, underscoring a market-wide shift to risk-off sentiment.

ambcrypto02/06 00:33