What’s Happening:
- The CME’s ether futures market has achieved unprecedented open interest, surpassing $10 billion.
- Institutional interest in ether has intensified, evidenced by a record 101 large open interest holders early this month.
- Ether’s price increased by 23% this month, hitting new highs above $4,900.
CME’s ETH OI hits record high
CME’s ether futures market performance. (CME Group Crypto)
The ongoing shift from Bitcoin to ether has further fueled this impressive growth. According to CME Group data shared with CoinDesk, the total notional open interest in ether futures had never reached such heights before.
Notional open interest refers to the dollar value of all active contracts, with CME providing contracts sized at 50 ETH and micro contracts at 0.1 ETH. Notably, those classified as large holders maintain at least 25 ether contracts at any one time.
Furthermore, the rise in open interest aligns with other record metrics, including the exceeding of 500,000 open micro ether contracts and ether notional options open interest surpassing $1 billion.
Giovanni Vicioso, the global head of cryptocurrency products at CME Group, commented:
“We’re certainly seeing a resurgence and renewed enthusiasm in Ether futures — especially as it relates to institutional participation.” Translation: We are witnessing significant growth and renewed interest in Ether futures, particularly from institutional players.
He also mentioned that various factors like increased network activity and favorable regulatory developments have boosted the overall enthusiasm surrounding ether and its derivatives.
As the ether market flourishes, open interest in standard Bitcoin futures has seen a decline, sitting at 137,300 BTC ($15.3 billion), significantly below the December high of 211,000 BTC. The price performance of ether continues to attract investors, with significant inflows into U.S.-listed spot ETFs, amounting to approximately $3.69 billion this month.
Ether’s resilience and the enthusiasm from institutional investors indicate a strong future for ether-based derivatives.
