Ethereum futures surpass Bitcoin

In the past 30 days, the price of Ether (ETH) diverged from Bitcoin (BTC), gaining 67.5 percent. As Ether reached its all-time high of $ 3,605 on May 5, the open position in futures increased to $ 10 billion.

While this situation interrupted Bitcoin’s dominance in the derivatives markets, as of May 4, Ether’s total futures volume surpassed Bitcoin for the first time in history.

Ether and Bitcoin combined futures volume (US dollars). Source: Coinalyze

Volume data from Coinalyze reveals that $ 1.1 billion of CME Ether futures were seen on May 4, as well as $ 2.6 billion of CME Bitcoin futures. However, Ether’s total volume came first, seeing $ 87 billion against Bitcoin’s $ 81 billion.

The total amount of open positions (USD) for Ether futures. Source: Bybt

The chart above shows that Ether futures increased by a mind-boggling 117 percent in two months. It is also noteworthy that CME contracts have reached a $ 460 million open position, up seven times since March.

Ether’s rising futures volume points to increased interest

OKEx 3-month ETH futures premium. Source: Skew

The chart above shows that Ether’s futures premium peaked at 45 percent in mid-April and has normalized around 25 percent since then. These data are encouraging as they point out that there is no overly optimism despite the Ether price hitting consecutive all-time highs.

Some analysts interpret this data as “the glass is half full.” Investors aiming to trade in a way that generates fixed income will reduce their Ether futures contracts and simultaneously buy Ether from the spot market.

Overall, regardless of how the data is interpreted, there seems to be healthy growth in the Ether futures markets.

The opinions and comments expressed here are only to the author belongs. It may not reflect Cointelegraph’s views. Every investment and trading transaction involves risk. When making your decision, you should do your own research.

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