The popularity of Bitcoin futures and options trading has surged. Futures positions are almost the same as the highest record in history, and option positions continue to hit a record high, breaking through 3.5 billion US dollars. Ethereum futures and options positions both increased by 10%, and the volume of options trading increased by nearly 40%.
Weekly market dynamics
- USDT standard perpetual contract was launched on Huobi APP.
Overview of extreme market liquidation
In the past week (October 30 to November 5), Bitcoin has risen from around 13,000 USD to a maximum of 15,000 USD. On November 5th, Bitcoin rose by more than US$1100, and the amount of liquidation reached US$235 million that day.
BitMEX, Binance, Bybit, Huobi and OKEx five exchanges’ Bitcoin futures liquidation data statistics, source: Coin
Trading volume
The statistical scope of Bitcoin futures includes BitMEX, Binance, Bitfinex, Bakkt, Bybit, CME, Deribit, FTX, Huobi and OKEx. The statistical scope of Ethereum futures includes BitMEX, Binance, Bitfinex, Bybit, Deribit, FTX, Huobi and OKEx.
The Bitcoin futures market has continued to gain momentum, and the trading volume has increased by nearly 40% in the past week, reaching nearly 143 billion US dollars. Among them, the single-day trading volume on November 5 exceeded US$36.8 billion, 1.8 times the average daily trading volume of the past week. CME’s trading volume fell by more than 28% this week after two consecutive weeks of surge, with a weekly trading volume of US$2.592 billion.
In contrast, the increase in Ethereum’s transaction volume is not significant, with an increase of less than 4% in the past week, to $30.4 billion.
Daily trading volume of Bitcoin futures contracts, source: Skew
Open positions
As of November 5, the open position of Bitcoin reached $5.573 billion, an increase of 8.30% from a week ago. It is worth noting that the current position value is almost the same as the largest position record in history, second only to August 17 (about 5.7 billion US dollars). In addition, although CME’s trading volume has declined, its holdings have increased by nearly 13% from the previous month to US$933 million.
Open positions in Bitcoin futures contracts, source: Skew
The value of Ethereum holdings has increased by 10% from a week ago, and as of November 5, it was 1.188 billion US dollars.
Open positions in Ethereum futures contracts, source: Skew
Compared with the 10% drop in Ethereum holdings in the previous week, the holdings of Bitcoin and Ethereum have increased in the past week. This indicates that the market is still optimistic about the market and investors need to continue to pay attention to whether the holdings data can be sustained.
Funding rate
Funding rate is a cyclical fee transferred between long and short traders in a perpetual contract to keep the price of the perpetual contract close to the value of the underlying asset, aiming to balance supply and demand between longs and shorts. The fund rate is positive, which means that long positions are dominant and long positions are paid to short positions. On the contrary, it means that short positions are more than long positions, and short positions are paid to long positions.
In the past week, the Bitcoin funding rate of most exchanges has moved up. Bybit has the highest average funding rate of 0.0112%. Only Bitfinex, Binance, and OKEx have negative values. Among them, Bitfinex’s average funding rate is as low as -0.0232%.
Comparison of Bitcoin Perpetual Contract Funding Rates of Various Exchanges
Similarly, the funding rate of the Ethereum perpetual contract is generally on the upward trend. Some and only OKEx has a negative average funding rate of -0.0032%, and Binance and BitMEX have the highest rates of 0.0231% and 0.0220%, respectively.
Comparison of Ethereum Perpetual Contract Funding Rates of Various Exchanges
Option market
Trading volume
The scope of Bitcoin options statistics includes Bakkt, Bit.com, CME, Deribit, Huobi (launched on September 1), LedgerX and OKEx. The scope of Ethereum options statistics includes Deribit, Huobi (launched on September 11) and OKEx.
The Bitcoin options market has surged in popularity, with a week’s trading volume exceeding US$2.7 billion, an increase of nearly 50%. Among them, it reached US$888 million on November 5, a single-day record. In addition, Deribit’s transaction volume reached historical highs on October 30 and November 5, respectively, at 553 million U.S. dollars and 751 million U.S. dollars, and the transaction volume accounted for around 84%. On the other hand, CME trading volume rebounded twice last week, and fell 45% in the past week.
Bitcoin options daily trading volume, source: Skew
Ethereum’s weekly trading volume also increased by more than 38% from the previous month to 231 million US dollars.
Ethereum options daily trading volume, source: Skew
Open positions
Bitcoin option holdings continued to brush historical records, breaking through 3.5 billion U.S. dollars. As of November 5, it was 3.537 billion U.S. dollars, an increase of more than 27% from a week ago. Among them, Deribit’s holdings increased by nearly 40% from the previous month, and the proportion of holdings rose to Around 80%.
Open positions in Bitcoin options, source: Skew
On the other hand, the value of Ethereum holdings resumed a rebound trend. As of 5th, it was 522 million U.S. dollars, an increase of nearly 9% from a week ago, and was second only to the historical high on September 1 (544 million U.S. dollars).
Open positions in Bitcoin options, source: Skew
