Highest level since 12 March crash
Aggregate open interest and trading volume have reached their highest levels since the 12 March market crash. As the price of Bitcoin rises, its futures market is booming. Bitcoin’s recent price surge has been accompanied by explosive volume in its derivatives markets.
Volume is up across the board, including regulated markets. Bakkt registered record volumes on Monday.
According to data from Skew analytics, aggregate open interest across Bitcoin futures markets (or the total value of outstanding trades) is broaching $5 billion, the most since before Bitcoin’s price tumbled during the Black Thursday mid-March crash.
Also, daily trading volume for Bitcoin futures on Monday, when Bitcoin’s price increased 12% to roughly $11,300, hit its second-highest figure ever. Aggregate futures volume across Bitcoin regulated and unregulated futures markets topped $40 billion this week, second only to the $50 billion the futures market recorded on Black Thursday (what 12 March is being referred to).
The bulk of this volume comes from unregulated Bitcoin exchanges that offer derivatives products, most notably OKEx, Binance, Huobi and BitMEX. But Bitcoin’s regulated markets are also thriving amidst the run-up.
The CME’s futures market experienced its second-best day on record with $1.3 billion in volume. Bakkt, which launched at the end of last year, showed a $122 million in Bitcoin futures volume.
In light of the news its apparent why high-net-worth investors are turning to Bitcoin now more than ever.