On January eight, it turned into observed that the Bitcoin CME futures market had seen a marked shift in value, inflicting many to trust that the new era of Bitcoin become upon us.
The CME Bitcoin Futures market accompanied by the total open interest and volumes has been on the upward push for the past couple of months and January has been the best time period.
Last October, the Futures market just crossed the $125 million mark which became far underneath the current hold close to the $175 million mark. This upward thrust happened concurrently with Bitcoin’s gain in value, crossing the $8000 threshold after suffering 3 years under the bear.
Richard Galvin, the CEO of Digital Asset Capital Management tweeted:
Seriously big volume of $711m on CME yesterday. It's the least "crypto community " futures contract there is imo so a clear indicator of multi-asset fund/family office buying = #bitcoin was used as digital gold yesterday pic.twitter.com/Tus70sReQz
— Richard Galvin (@richwgalvin) January 9, 2020
The maximum daily volume clocked in at $711 million while the average held at $208 million. And the maximum open interest on the CME futures market becomes $214 million with the average at $136 million.
Currently, the open interest rate was at $212 million, a 3-month high. Analysts predict that if the price bounces back after the CME gap fills, there may be a chance that the lowest was passed. Even the next key resistance that is anticipated to break is calculated at $7600.
The total accumulated Bitcoin futures on the 8th was over $20 billion, which does not include the fringe payments that occurred. During November of last year, the ICE owned Bakkt cracked the all-time high Bitcoin Futures trades at $42.5 million . Apart from the growth in Bitcoin futures, the currency has also been helped along by Corporates such as Binance.
Binance had recently opened futures trading with a 75x multiple on its platform. Other players such as StormGain also contribute on their part by allowing users to conduct high leverage trade using cryptocurrencies such as Bitcoin, Ethereum or XRP.
Some parts of the community have stated that the ongoing climb on the futures market indicates the growing maturity index of the cryptocurrency market. At the same time, there are others who believe that such a vast futures trade base will leave the industry speculative.
This was brought up again when Bitcoin fell below the $8000 mark to trade at $7867. At press time, the currency had a market cap of $142.8 billion and a daily 24-hour market volume of $24 billion.