Recent trends indicate a substantial pullback among meme coin traders from leveraged positions, evidenced by a 52% drop in open interest. As cryptocurrencies experience volatility, the market sentiment appears to be shifting, resulting in a cautious approach by investors.

Key Points

• Declining open interest: Meme coin open interest has sharply fallen by 52% in the past month.
• Traders exiting positions: Many are unwinding long positions on leading exchanges, notably Binance and Bybit.
• Crypto prices under pressure: Established cryptocurrencies like Bitcoin and Ethereum are struggling to regain previous highs.

Market Update

• Bitcoin remains below $100,000, while Ethereum hovers near $3,000.
• Meme coins, cumulatively valued at around $75 billion, reflect the growing reluctance of traders to engage in leveraged trades.

Trading Chart
Source: TradingView

As more participants withdraw from high-risk trading, the potential for increased volatility looms in the ever-changing crypto market.