Bitcoin Futures Open Interest Touches ATH Advancing Towards $20 Billion
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Bitcoin Futures Open Interest Touches ATH Advancing Towards $20 Billion

March 12, 2021      Sahaj Sharma

Bitcoin Futures open interest has recently managed to touch its ATH, and the speculations made on BTC in the derivatives market are advancing towards $20 billion for the first time ever. With Bitcoin dashing toward ATHs again, a huge volume of capital is flocking in the BTC derivatives market.

Traders Speculate On Bitcoin Futures Touching $20 Billion

Glassnode, a cryptos market data gatherer recently revealed that on March 11, the remaining futures contracts pushed into new ATH with open interests over crypto exchanges moving toward $20 billion.

In 2021, record volumes were witnessed in options and the BTC futures and options exchange Deribit is presently hosting daily trades worth over $1 billion. 

According to the recent data revelations, Binance, ByBit, and Huobi Global, the top three centralized derivatives exchanges are representing over $100 billion in combined daily trade.

In the past 24 hours, the further 10 popular CD exchanges have reported trades worth over $65 billion.

On the other hand, some of the decentralized derivatives exchanges seem to be grappling to draw the momentum of their centralized equivalents.

The sky-high charges of Ethereum seem to have decelerated the growth of the decentralized options. The convoluted smart contract executions required to interrelate with some protocols based on Ethereum resulted in gas costs of over $1,000.

Liquidity Issues Impacting Decentralized Option Markets of Ethereum

Julian Koh, the Founder of Ribbon Finance made an announcement on March 11 regarding the temporary disabling of the ’Strangle’ product of the protocol. The reason behind this was the lack of liquidity in the Hegic pools.

In addition to this, Julian Koh also noted the disturbance in the price feed of Ribbon which was a result of ongoing updates to DeFi options protocol Opyn.

The Founder of Ribbon also noted on Discord that the crew is presently working on amalgamating with Charm Finance, a fellow DeFi options protocol. Koh referred to it as:

“a new liquidity source to solve the liquidity issue.”

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#Bitcoin #Bitcoin Futures
Sahaj Sharma
Sahaj Sharma

Sahaj is an aspiring journalist with a keen interest in cryptocurrency and the whole concept of Blockchain technology. He is positive about the future potential of Cryptocurrency and Blockchain in shaping the world of finance for good. At present, he is covering the latest developments in the field of the cryptosphere.