The trading volume of Bitcoin futures and options both rebounded by 40%, and option holdings increased by 15%, approaching a record high before the settlement date in the third quarter. The trading volume of CME Bitcoin options more than tripled last week, and has fallen by 70% in the past week. After the value of BitMEX’s Ethereum futures holdings fell by more than 12% in the previous week, it rebounded by nearly 20% in the past week.
Futures market
Overview of extreme market liquidation
In the past week, the price of Bitcoin has fluctuated greatly, with a total of approximately US$700 million in liquidation. On the morning of October 10th, Bitcoin rose by more than $350 in half an hour, during which the liquidation amount reached 120 million U.S. dollars, and a total of 143 million U.S. dollars was liquidated that day. On the afternoon of October 12, Bitcoin liquidated 30.16 million US dollars within half an hour before the sharp drop to 11,185 US dollars. A total of 82 million US dollars were liquidated 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 trading volume of Bitcoin futures rebounded sharply, rebounding more than 40% in the past week to US$62.5 billion. Among them, Bitfinex increased by over 120% from the previous month, Bybit and Huobi both rebounded by more than 50%, and Bakkt and Huobi both rebounded by about 40%.
Daily trading volume of Bitcoin futures contracts, source: Skew
Ethereum’s trading volume broke the downward trend for four consecutive weeks and rebounded by 25.31% in the past week, with a weekly trading volume of 24.277 billion US dollars.
Ethereum futures contract daily trading volume, source: Skew
Open positions
Bitcoin holdings continued to rebound slightly. As of October 15, the value was 4.145 billion US dollars, an increase of more than 5% from a week ago. Among them, CME’s position value increased by nearly 24% last week, and increased by more than 21% in the past week, reaching 561 million US dollars as of yesterday. In addition, Bakkt’s holdings also rebounded about 20% from a week ago.
Open positions in Bitcoin futures contracts, source: Skew
The value of Ethereum holdings increased slightly by 3.62% from a week ago, returning to above 1 billion U.S. dollars, as of October 15th, 1.018 billion U.S. dollars. Among them, the value of BitMEX holdings fell by more than 12% in the previous week due to regulatory accusations, and rebounded by nearly 20% in the past week, reaching US$122 million as of yesterday.
Open positions in Ethereum futures contracts, source: Skew
The futures trading volume of Bitcoin and Ethereum both rebounded to a certain extent, but the position value did not increase significantly, which shows that the market is still more cautious about the market. Investors need to continue to pay attention to changes in position data.
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 long and short. Funding rate is positive, longs pay shorts, and vice versa, shorts pay longs.
In the past week, FTX had the highest average funding rate at 0.0113%. In addition, during this period, only Bitfinex and OKEx have negative funding rates, which are -0.0055% and -0.0001%, respectively.
Comparison of Bitcoin Perpetual Contract Funding Rates of Various Exchanges
Compared with August, the funding rate of the Ethereum perpetual contract has been significantly reduced. In the past week, BitMEX’s Ethereum has the highest average funding rate, reaching 0.0421%. Bybit and Binance’s funding rates are both above 0.01%, and other exchanges are below 0.005%.
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.
Consistent with the performance of the futures market, the weekly trading volume of Bitcoin options rebounded by 38.73% from the previous month . Among them, CME trading volume more than tripled last week, and fell by 68.14% in the past week. It is worth mentioning that the transaction volume on October 12 reached 362 million U.S. dollars, a record high except on July 27.
Bitcoin options daily trading volume, source: Skew
After four consecutive weeks of decline in the trading volume of Ethereum options, it rebounded by nearly 10% in the past week, reaching US$1.25 billion.
Daily trading volume of Ethereum options, data source: Skew
Open positions
Bitcoin holdings have also continued to increase, increasing by more than 15% from a week ago, reaching $2.153 billion as of October 15. At present, this value is second only to the level before the delivery date of the third quarter (approximately US$2.273 billion).
Open positions in Bitcoin options, source: Skew
On the other hand, the value of Ethereum holdings rebounded by more than 9% from a week ago, reaching USD 424 million as of October 15.
Open positions in Ethereum options, source: Skew
Option expiration
Today, over 24,000 Bitcoin option contracts will expire, with a nominal value of more than US$270 million. 46,300 contracts will expire on the last Friday (30th) of the month.
Bitcoin option expiration, source: Skew
In terms of Ethereum options, 96,900 contracts will expire today, and over 480,000 contracts will expire on December 25.
Ethereum option expiration status, source: Skew
