The cryptocurrency market is showing signs of stabilization in 2025, with leverage levels significantly decreasing following the October crash. Data from Coinglass indicates a decline in Bitcoin's open interest as traders close futures contracts and reduce their exposure. Alphractal reports a sharp drop in daily trading volumes from 80 million to 13 million over the past week.
Despite the cautious sentiment reflected in the fear and greed index, the reduction in leverage suggests that structural risks in the market are easing. While Ethereum's leverage situation remains complex, the overall market is moving towards a more balanced risk profile, indicating a potential shift towards stability.
Crypto Market Leverage Eases as Traders Reduce Exposure
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