On-chain data shows the Bitcoin futures market has remained heated recently as leverage taken on by investors has been quite high. Bitcoin Estimated Leverage Ratio Declines A Bit, But Still Remains Very High Following the rise in derivative activities, the leverage in the market hit a new all-tine high recently, as noted by an analyst in a CryptoQuant post. The “all exchanges estimated leverage ratio” is an indicator that’s defined as the ratio between the open interest and the derivative exchange reserve. When the value of this metric is high, it means the average investor is currently using a large amount of leverage on exchanges. Such a trend suggests holders are willing to take high risk currently. On the other hand, low values of the indicator imply holders are going for a low-risk approach at the moment as they aren’t using much leverage. Now, here is a chart that shows the trend in the Bitcoin all exchanges estimated leverage ratio over the last couple of years: The value of the metric seems to have rap ..
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