Bearish Bets on Bitcoin Lose $100 Million Ahead of Expected Bitcoin ETF Approval by SEC

Traders are betting that Bitcoin will rise (btc) the prices Lost more than $100 million Over the past 24 hours, expectations for approval of a Bitcoin spot exchange-traded fund (ETF) in the US have moved closer to the finish line.

Bitcoin rose as much as 9% on Monday, before giving up some gains, as prices jumped more than $47,000 for the first time since March 2022. Traders on cryptocurrency exchange OKX suffered the most losses at $84 million, followed by Binance at 71 million dollars.

Open interest, or the number of unsettled futures contracts, jumped more than 8% over the past 24 hours, suggesting that traders opened more bets after the liquidation event as they likely expected. Volatility to continue.

Liquidation refers to the exchange forcibly closing a leveraged trader's position due to partial or total loss of the trader's initial margin. This occurs when a trader is unable to meet the margin requirements for a leveraged position (failing to obtain sufficient funds to keep the trade open).

Large liquidations can signal a local top or bottom of a sharp price movement, which may allow traders to position themselves accordingly.

Such data is useful to traders because it serves as an indication that leverage is effectively being eliminated from popular futures products – acting as a short-term indicator of declining price volatility.

Monday's market moves came as would-be issuers, ranging from BlackRock (BLK) to Grayscale, filed their offering fees with the US Securities and Exchange Commission (SEC) on Monday, marking one of the final steps before the first-ever bitcoin ETF goes public. In the market. we

Thirteen proposed ETFs are awaiting SEC approval, and the battle for clients already appears to be heating up — with some issuers charging no fees for the first six months or $5 billion in assets under management (AUM).

The final decision on approvals or rejection is expected on Wednesday. Meanwhile, SEC officials reportedly sent comments to a group of potential issuers addressing minor details in amended S-1 forms that are expected to be filed on Tuesday, a source familiar with the matter said. CoinDesk said.