🔷The Ethereum derivatives market has undergone its largest open interest collapse in history, with the total figure plunging from $28 billion to $19 billion in just 24 hours. The wave of liquidations hit Binance the hardest, where OI declined by $3.4 billion in a month. Analysts attribute the drop to an overheated market and excessive leverage built up after months of speculative gains.
🔷The trigger came from U.S. President Donald Trump’s announcement of new tariffs against China, which sparked volatility across global markets. Ripple was also affected — XRP’s open interest was cut almost in half, and its price briefly dipped to $1.07. Experts describe the event as a “necessary market cleansing”, setting the stage for a more sustainable stabilization phase in crypto.