Key Points
- Bitcoin (BTC) futures-to-spot trading volume ratio has hit its lowest level in 2025.
- This decrease raises concerns about potential market instability and increased liquidation risks.
Glassnode co-founders Yann Allemann and Jan Happel have noticed a significant decline in the ratio of Bitcoin (BTC) futures trading volume to spot trading volume. This ratio has reached its lowest point in 2025. This information was shared through their X account Negentropic, adding to the growing concerns about the stability of the cryptocurrency market.
Increased Market Volatility as Bitcoin Struggles
Currently, Bitcoin is finding it challenging to reclaim the significant price range of $97,200–$98,500. Allemann and Happel emphasized that reaching this range is critical for Bitcoin to break out towards the highly anticipated $100,000 mark.
Negentropic recently reported that the $100,000 target appears within Bitcoin’s reach. However, they also noted that it might not be immediately achievable due to persistent market volatility and liquidations. They suggested that the real market direction would become evident after key events such as the US Federal Open Market Committee (FOMC) speeches, Tuesday’s US Fed Chair Powell’s testimony, and the US CPI reports.
Over the past few weeks, the market has experienced false breakouts and failed breakdowns, leading to increased volatility. Despite these challenges, the fight for recovery continues.
Concerns Over the Bitcoin Futures Market
As previously mentioned, the Bitcoin futures-to-spot ratio is at its lowest in a year. This indicates a significant slowdown in futures trading activity compared to spot trading.
While this may seem positive, a sudden surge in futures trading could lead to a wave of forced liquidations. This could result in increased selling pressure, causing greater price fluctuations and making Bitcoin’s path to $100,000 more uncertain.
At this point, traders are advised to be cautious and closely monitor Bitcoin’s price, particularly how it performs within the given range. If Bitcoin fails to establish solid support, further liquidations could occur, further impacting the market.
