- Open Interest of ETH options crossed 8.11 billion USD, showing significant growth.
- In the meantime, Bitcoin options open interest seems struggling.
Following the significantly growing cryptocurrencies’ prices across the crypto market, digital assets options are also witnessing similar pace. On Friday, August 12th, 2022, open interest of Ethereum’s native cryptocurrency Ether (ETH) options reported to reach their newly attained all time high.
As per reports, open interest secured a massive amount of 8.11 billion USD, which is said to be crossing almost three times of the value in comparison to its value approx a month earlier. Crypto experts and people with knowledge in the space explains potential reasons for the notable rise in ETH options open interest.
It’s been said that primarily, open interest in Ethereum options are paired with the appearance of new and sophisticated trading strategies employed by the traders. Such traders set themselves leading before the transition of Ethereum network, whereas it is planned to move from proof-of-work to proof-of-stake consensus mechanism. The Merge transition is scheduled to launch by September month of this year.
According to the message from hedge fund firm – LedgerPrime – to counter-parties, one of the ETH trading structures named ‘The Long Call Butterfly’ shifted towards second position by this week. Along with the move, the second biggest crypto assets witnessed a bull call and that eventually made the volume lead upto 160K.
During the similar timeframe, open interest of bitcoin options were paradoxically experiencing decline. Currently BTC option open interest staying around 5.5 billion USD.
Meanwhile, alongwith the open intrestof ETH options, its futures are also doing well in terms of performance. Ether futures reached the highest level since April of this year and reached upto 9.15 billion USD. Top altcoin, Etheruem (ETH) has gained more than 17% in a week where it is currently trading at 1,987.39 at the time of writing.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.