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The Bitcoin derivatives market has undergone a heavy leverage flush over the past two weeks through April 13, according to CryptoQuant data. Bitcoin Futures Open Interest 7-day change—measuring the weekly shift in aggregate BTC futures open interest—had fallen to approximately -3% at the time of reporting. The decline indicates that traders have been closing positions or facing liquidations faster than new positions are being opened. The metric crossed from positive to negative on April 12, signaling an early deleveraging event.
CryptoQuant analytics show that the Bitcoin 7-day SMA funding rate—reflecting total futures open positions across Binance, Bybit, and OKX—moved from a positive 0.33% to a negative 0.17%. A negative funding rate means shorts are paying longs, suggesting the market is net short and structurally positioned for a potential squeeze if spot demand accelerates.
Spot appetite for Bitcoin has increased over the past week, led by institutional investors. The U.S. spot BTC ETFs recorded total net cash inflows of more than $816 million last week, led by BlackRock’s IBIT. Separately, Strategy Inc. (MSTR) acquired 13,927 Bitcoin for over $1 billion, bringing its holdings to 780,897 BTC.
Overall, BTC led last week’s $1.1 billion net cash inflows to digital asset investments, with approximately $871 million attributed to Bitcoin, based on CoinShares data.
CryptoQuant analyst Axel Adler said: “As long as the spot price holds above $70,000, the divergence between a resilient spot and a bearish derivatives structure keeps the short squeeze potential intact.”
However, if institutional spot demand weakens while futures deleveraging continues, the article notes that capitulation below $70,000 could become likely.

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