Home Bitcoin News CME’s Open Interest in BTC Futures Has Set a New High

CME’s Open Interest in BTC Futures Has Set a New High

by admin

Crypto News


Enthusiasm is returning to the cryptocurrency market, and prices are beginning to show the first signs of an approaching rally.

Currently, bitcoin is trading around $60,100, as indicated by the breakdown of the $58,600 mark on Wednesday evening. The current price level is a target that will take us to the highs of mid-April, when the historical maximum of $64,850 was set.

On Thursday, the price of ether (ETH) rose to $ 3820. Against the background of renewed interest in the second largest cryptocurrency, the ETH/BTC ratio increased from 0.06 to 0.0654, and the next resistance is just above the 0.07 mark.

Both bitcoin and ether are currently below their record highs by about 11-14%, however, due to the rise in the price of the first cryptocurrency, the total market capitalization of the crypto market exceeded the $ 2.5 trillion bar.

As for the US dollar index, it has been trending downward over the past two days and is currently equal to 93.960, after reaching an annual maximum of 94.5 on Tuesday.

This time, prices are rising in anticipation of Bitcoin ETF approval. These sentiments were reinforced by the words of SEC Chairman Gary Gensler, who supported exchange-traded funds based on CME futures.

Market mainly trading a BTC futures ETF approval pic.twitter.com/MT1rgnqXFZ

— Alex Krüger (@krugermacro) October 14, 2021

Open interest in bitcoin futures has also grown significantly – it has reached $20.77 billion, a level that, according to Bybt, was last observed on May 10 and April 20.

Given that the basis of these ETFs are futures of the Chicago Mercantile Exchange (CME), it is not surprising that open interest on the regulated platform has already reached a new historical high of $ 3.23 billion.

The price movement began to have an impact on funding rates, which were negative last month, while currently the highest indicator of this rate is observed on OKEx – 0.0479%.

The quarterly average annual basis of BTC futures is now 15%. The value of the basis reached 51% at the peak in April 2021 and 26% at the peak in 2019. There is a place to move–” said trader and economist Alex Kruger.

Earlier, we highlighted the premium on CME futures contracts over other exchanges as an unusual phenomenon and a sign of institutional interest. The trend continued, which was clearly facilitated by Gensler’s comments. There are two factors affecting the CME premium on the chart:

5/ In our previous update, we highlighted the CME futures premium over the other exchanges as an unusual occurrence and a sign of institutional interest. This has persisted and was clearly driven by Gensler’s comments. Two reasons driving the CME premium: pic.twitter.com/D8D96KpYA3

— QCP Capital (@QCPCapital) October 14, 2021

Amid the return of euphoria to the cryptocurrency market, Michael Berry, known by the nickname “Big Short”, who earned a fortune thanks to the housing bubble, became interested in cryptocurrency, but the sad thing is that he does not know exactly how to short cryptocurrency.

Before asking “how to short the cryptocurrency,” Berry also stated that the crypto industry is experiencing speculation that “will probably surpass all historical examples.” And the Twitter crypto sector, of course, could not help but criticize him.

Imagine that you understand all this and do not take part,” commented popular crypto investor Degen Spartan.

I assume that the cryptocurrency bubble will surpass the madness of the tulip mania era by 100 times. People will get into debt for several generations to finance their bets, out of fear that they will miss the opportunity and stay with their fiats, or because of a greedy desire to get into the elite, risking all their blood.

Here is the answer one of the Twitter users wrote to him:

The dude said that the price would collapse. The media paid maximum attention to him. The prediction didn’t come true, so he deleted his tweets.

Now he’s back with the same statements, but he doesn’t even know how to make money on shorting???? That’s a joke.

Dude claimed price was gonna collapse.

Media gave him all the attention

It didn’t so he deleted his tweets.

Now he’s back making the same proclamations but he doesn’t even know how to take out a basic short????

Lmao. pic.twitter.com/XxgQ67p6bk

— :~# i_am_nomad (@IamNomad) October 14, 2021

Last week, Berry called the competitor of the popular Dogecoin (DOGE) meme Shiba Inu (SHIB) “meaningless”. Currently, SHIB is trading at $0.00002482, well below the May high of $0.00003791, but in about a year its price has increased by 51076422.9%.

The fund manager compared the hype around bitcoin and meme tokens with the housing boom and dot-com bubble and warned that they owe their “sky-high growth to speculative passions, and that falling from this height will be dramatic and painful.”

Known for his investments in the GameStop meme token, Berry inadvertently paved the way for a stock short-squeeze in January, causing GME stock prices to skyrocket.






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