According to the crypto analysis company Arcane Research, the open interest for CME Group’s Bitcoin futures has hit an all-time high. According to the data collected from monitoring resource Skew, CME’s open interest crossed its previous record of $392 million from June 2019 and reached a new all-time high of $399 million. The growth in the open interest has been quite impressive since March after it equaled less than $150 million on the back of Bitcoin’s abrupt 60% price crash.
The overall volume on CME remains low.
Despite the massive growth in the open interest rates, the overall volume on CME futures remains low and has not seen similar behavior at the same time. The company reported that the daily trading volume is not seeing the same level of growth, indicating that there are less trading-driven and more exposure-driven activity on the platform. An implication from the current scenario could be that the traders are preparing to short the Bitcoin price, which is currently trading at just above the $9,300 mark. The price of bitcoin is up 2.6% in the last 24 hours.
Bitcoin decoupling from the stock market continues.
The leading cryptocurrency is currently witnessing a positive rally as the price reached over $9,400 on Wednesday. Several BTC traders have claimed that the current bullish run surfaced because of organized FOMO, and big players are playing small traders using the halvening narration. However, it is also worth noting that the leading cryptocurrency has been decoupling from traditional stock markets. Crypto market analyst, Mati Greenspan noted that bitcoin has been surging while US stocks have been lagging for the last week.
The scheduled bitcoin halving will happen next week as the supply of leading cryptocurrency would be reduced in half. The much-anticipated event will reduce the mining reward by half. Currently, the reward for each block mined is 12.5 BTC, and post halvening the reward would be reduced to 6.25 BTC.
