In brief:
- Trading volumes on CME's Bitcoin futures and options trading offerings have risen.
- Bitcoin futures trading is up 43%.
- Bitcoin options trading saw a peak on May 6.
Trading volumes for Bitcoin derivatives on the Chicago Mercantile Exchange (CME) have skyrocketed in advance of the third Bitcoin halving.
In the last year, the average daily volume (ADV), or the average number of Bitcoin futures contracts changing hands each day, on CME has increased by 43% and now stands at 8,456 contracts YTD. This is equivalent to an average of 42,280 BTC ($376 million) changing hands every day on the exchange, since each contract is worth five Bitcoin.
7 best ways to watch the Bitcoin halving 2020 live
For some it’ll seem like watching paint dry, but today thousands of Bitcoiners will be mesmerized by their screens, watching the Bitcoin halving at 7 pm UTC (3 pm EST.) That’s when block 630,000 rolls around, the new supply of Bitcoin dramatically cuts in half, and we put those bold Bitcoin price predictions to the test. 1 day left until next #BitcoinHalving pic.twitter.com/uSkxjYINvT — Bitcoin Halving Countdown (@Bitcoin_Halving) May 11, 2020 On July 9, 2016, the date of Bitcoin’s last halvi...
Comparatively, more than 2,250 Bitcoin options have been traded on CME, and the platform recently recorded a peak of 216 options contracts traded on May 6, 2020.
Bitcoin futures and Bitcoin options on CME have seen their open interest climb considerably in recent months, and both recorded an all-time-high for open interest on May 7, 2020. On this date, open interest in Bitcoin futures climbed to 9,783 contracts (or 48,900 BTC), while the open interest for CME Bitcoin options peak at 555 contracts (or 2,800 BTC) on the same day.
The number of large open interest holders, defined as a single user with an open interest of at least 25 contracts, has also climbed in recent months. The average number of monthly large open interest holders reached its all-time highest value of 58 last month, almost triple that seen a year prior.
Overall, the amount of open interest in CME's Bitcoin futures has grown almost non-stop since it first launched in December 2017. Open interest is now up 33% year-on-year, and over 4,500 new accounts have participated in Bitcoin futures trading on the exchange—with 844 of these registering this year, more than doubling last year's figures.
CME Bitcoin options go live due to "high demand from customers"
The Chicago Mercantile Exchange (CME) is launching its bitcoin options trading today. The offering will add to its current bitcoin futures trading offering, which saw $1.7B in value traded on one day in June, last year. At Coindesk Invest, back in November, 2018, Tim McCourt, global head of equity index and alternative investment products at CME Group, told Decrypt. “Options has been a product that’s been in high demand from customers ever since we launched futures back in December, 2017. On the...
As one of the most popular trading platforms for well-heeled and institutional Bitcoin traders, these numbers indicate rising interest among some of the largest Bitcoin traders. But are they going long or short?
