What Is Open Interest?
The total value of all outstanding futures contracts that have not been closed. Rising open interest with rising price suggests new money fueling the trend. Falling open interest signals positions closing and a possible loss of momentum.
Related Terms
- Funding Rate A periodic payment exchanged between long and short traders in perpetual futures, typically every eight hours.
- Volume The total amount of an asset traded in a period.
- Liquidation The forced closure of a leveraged position when your margin can no longer cover the losses.
Where You Will Meet This Term
You will run into open interest constantly on any futures exchange, from the order panel to the position dashboard. If you are still building your foundation, our guides on leverage, liquidation and risk management connect the vocabulary into an actual trading process, and the full glossary covers every other term you will encounter.