Altcoin Speculation Surges: Is Crypto Headed For A Leverage-Fueled Meltdown?
A surge in leveraged positions across Ethereum (CRYPTO: ETH) and top altcoins has prompted concerns of a speculative build-up, with analysts pointing to rising fragility in the market despite Bitcoin‘s (CRYPTO: BTC) apparent stability.
What Happened: Glassnode‘s on-chain report, published Tuesday, highlights an aggressive rise in open interest across altcoin futures — ballooning from $26 billion to $44 billion in July — signaling increasing speculative positioning.
Ethereum, in particular, has seen its derivative volume and open interest dominance overtake Bitcoin for the first time since the 2022 cycle lows.
“This persistent expansion in open interest and high funding costs shows heightened speculative appetite,” Glassnode noted, warning that the current market structure may be more vulnerable to sharp volatility.
Over the last two weeks, …
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