<ul data-eligibleForWebStory="true"><li>Falling Binance open interest correlation signals imminent Bitcoin volatility, as per a report.</li><li>Divergence between open interest (OI) and price often precedes sharp price swings and liquidation cascades.</li><li>Low correlation reflects misalignment between price movement and leveraged speculation, making the market vulnerable to forced liquidations.</li><li>Traders positioning against trend momentum increases liquidation risk, leading to rapid price acceleration.</li><li>Low correlation (≤ 0.1) indicates price and OI moving independently or inversely.</li><li>Traders are advised to monitor the correlation closely as it historically serves as a lead indicator of major price moves.</li><li>Heightened volatility is expected in the near future, whether resulting in a sharp rally or steep correction.</li></ul>

Falling Binance Open Interest Correlation Signals Imminent Bitcoin Volatility, Report Warns

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