In March of Bitcoin After reaching all-time highs and breaking a record, other crypto assets called altcoins also rose. There has been a decline in the number of open positions in the altcoin market, which has kept pace with the subsequent pullback in the markets.

Open interest in major crypto assets, including major altcoins such as Ripple, Solana and Dogecoin, fell 51% last month. The reason for this situation turned out to be the participants’ loss of interest in the market. Solanas open positions reached $1.51 billion, Ripple While open positions fell to $497.67 million, for dogecoin this figure stood at $668.2 million. The drop in open interest in Dogecoin was 64%.

So what is an open position?

There are terms that are commonly used in stock markets: in short, take a long position Expressions like these are often heard in our ears. Essentially predicting the future price of an asset and adjusting accordingly when we take position Or when we have an unresolved trade, we open a position in the market. When no one sells olives and no one buys, the open position is zero. If someone then comes along and wants to buy half a kilo of olives, an open position will be created.

During economic recessions or when confidence in the markets decreases decrease in the number of open positions can be seen. This situation slows down the conversion of assets into cash, rather than market volume. When open positions decrease, a bubble usually bursts or the market goes into correction.

The uncertainty prevailing in the market after the Bitcoin halving on April 20 is causing less trading. This draws investors’ attention to other areas.