Open interest has risen to 773,000 BTC, one of the highest readings on record, while funding rates remain elevated despite weak spot demand and growing market fear.

Bitcoin derivatives show $40B in futures OI and $40B in options OI as traders eye June 26 expiry and max pain levels.

Open interest has risen to 773,000 BTC, one of the highest readings on record, while funding rates remain elevated despite weak spot demand and growing market fear.

The selloff has triggered demand for protective options plays, pushing the fear gauge higher.

Analysts and market observers are saying bitcoin's crash is happening due to traders chasing momentum and rotating out of crypto and into high-flying IPOs and AI stocks.

BTC price crashed to $61,300 before recovering to $62,500 as $3 billion in liquidations hit over two days and traders loaded up on $60,000 puts anticipating further losses.

Bitcoin has dropped 17% in four days, sparking $4.5 billion in liquidations, as analysts warn of a potential move below $60,000.