Bitcoin Leverage Resets After a 24% August Rally as Perpetual Open Interest Falls to a May Low

Bitcoin gained 24.95% in August, its strongest month since November 2024, as reported by Investing.com.

Against that advance, perpetual open interest measured in BTC declined 8.5%. DefiLlama Research puts the move at roughly 341,000 BTC before the breakout and around 312,000 BTC later in August.

The figures show that the sharp price advance was not accompanied by a larger base of Bitcoin-denominated leveraged positions.

Data Snapshot

MetricCurrentPreviousChangePeriodAs ofSourceBitcoin August performance24.95%——August 20262026-08-31Investing.comBitcoin-denominated futures open interestapproximately 587,600 BTC645,800 BTC—As of August 25 versus August 14, 20262026-08-25KuCoin FlashPerpetual open interest before breakout versus later levelaround 312,000 BTCroughly 341,000 BTC8.5% declineAugust 20262026-09-01DefiLlama ResearchPerpetual open interest in dollar termsnearly $26 billionabout $21.9 billion—Before breakout to August 24, 20262026-08-24DefiLlama ResearchMarket-wide futures open interest in coin termsroughly 708,000 BTCroughly 737,000 BTC3.9% contractionAugust 13 to August 25, 20262026-08-25Oracle of BTC

Perpetual open interest fell during Bitcoin’s August advance

Open interest tracks outstanding derivatives contracts. BTC-denominated open interest fell while Bitcoin rose during August, indicating that existing positions were being closed rather than traders adding fresh exposure in Bitcoin terms; the lower coin-denominated perpetual reading shows that the advance was not accompanied by expanding perpetual exposure measured in BTC. DefiLlama characterized August’s rally as bought rather than primarily leverage-driven.

BTC Open Interest - August 2026; TradingView chart showing BTC/USD and aggregated open interest. — Source: DefiLlama Research

Dollar open interest rose as BTC exposure declined

Because dollar open interest reflects both the BTC represented by outstanding contracts and Bitcoin’s price, it can differ from BTC-denominated open interest, which measures the underlying coin exposure; the two figures should not be read as contradictory.

Perpetual open interest in dollar terms rose from about $21.9 billion before the breakout to nearly $26 billion before August 24. With Bitcoin’s price higher, the same or a smaller amount of BTC-denominated exposure can carry a larger dollar value. DefiLlama reported precisely that divergence: open interest rose in dollar terms while falling in Bitcoin terms.

Futures reached a five-month low

BTC-denominated futures open interest stood at approximately 587,600 BTC as of August 25, down from 645,800 BTC on August 14 and at a five-month low, according to KuCoin Flash. Market-wide futures open interest in coin terms fell from roughly 737,000 BTC on August 13 to roughly 708,000 BTC on August 25, a 3.9% contraction, while price rose 24.3% over the same period, according to Oracle of BTC. Investing.com said the five-month low in Bitcoin-denominated futures open interest indicated that short liquidations and position closures supplied buying rather than fresh long capital.

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