Futures Markets Experience $370 Million Liquidation Amid WLFI Buyback Proposal

Gold reached a record high of over $3,500 per ounce early Tuesday while bitcoin (BTC) showed lackluster trading activity. A whale address recently sold 425 BTC for over 10,500 ETH, worth $46.5 million. Long-term holders spent 97,000 BTC on Friday, according to Glassnode.

Derivatives Positioning

Crypto futures liquidations totaled $370 million in the past 24 hours as bitcoin price bounced unexpectedly.
Open interest (OI) in BTC increased by over 1%, indicating fresh capital inflows, while OI in other top tokens declined.
XRP indicated a potential bull reversal, but OI in perpetuals fell by 5.69%, suggesting weak market conditions.
Perpetual funding rates for BTC, ETH, and major cryptocurrencies are slightly above zero, showing a minor long bias.
On CME, BTC futures positioning remains light; ether futures have near-record OI of 2 million ETH.
BTC options show downside concerns, with puts trading at a premium to calls for December expiry; similar but less pronounced trends exist for ETH.
BTC block flows are slightly bearish, with traders favoring certain put and call strategies, while ETH puts at $3,800 and $4,200 were lifted.

Token Talk

World Liberty Financial (WLFI), linked to Trump, is proposing a buyback-and-burn program to restore confidence after a troubled launch.
The plan aims to create token scarcity by using fees from liquidity positions to buy and burn tokens.
WLFI trades at 23 cents with a market cap of $6.39 billion, down 24% in one day.
A governance proposal seeks to stake 80% of WLFI's locked supply into pools, turning idle tokens into productive assets despite criticism.
WLFI's launch faced security issues, with hackers exploiting Ethereum features to drain tokens from wallets.
Victims reported losing significant portions of their holdings due to the exploit, which was triggered during transfers.
The project has experienced scams and phishing attempts alongside its technical vulnerabilities, raising questions about its viability.