Bitcoin futures open interest has surged to between $26 billion and $28 billion as the market recovers, with Bitcoin prices climbing above $115,000. This rebound follows a significant $19 billion liquidation event that impacted over 1.6 million traders. Despite the cautious growth in leverage, historical data suggests October is typically a strong month for Bitcoin. However, the increase in open interest without corresponding spot demand raises concerns about potential over-leveraging. As funding rates on major exchanges stabilize, derivatives traders are cautiously reopening positions, indicating a gradual return of confidence in the market.