Ether’s (EDH) record price rally has spurred activity in the options market, with cryptocurrency surpassing Bitcoin (PTC) for the first time in terms of trading volumes.
The “flip” with Ether’s strong price performance in recent weeks is an additional sign of market focus, which is temporarily moving away from cryptocurrency bitcoin above market value.
On Monday, four major exchanges offering ETH options – Teribit, OKX, Hobby and Bitcom – recorded a combined trading volume of $ 1.32 billion, surpassing the number of bitcoins for the first time. According to data source Scoo, Bitcoin’s options market traded $ 879 million worth of contracts in a single day.
Ether options rallied as prices for Ethereum blockchain’s own token rose to a new lifetime of over 4,400, reaching Tuesday. Although Ether has accumulated more than 60% in the last four weeks, Bitcoin is down 3%, according to CoinDesk 20 data.
Options are derivative agreements that give the buyer the right, but are not obligated to purchase the basic property at a certain price on or before a certain date. The call option gives the right to buy, and the boot indicates the right to sell.
The amount of ether options has materially increased since mid-April, with the dominant exchange contributing more than 80% to the total activity of the Teribit.
Ether Options Open interest, or the number of unresolved deals with traded but offset positions, has soared to new record highs of more than $ 5 billion per scoop. Meanwhile, open interest in the Bitcoin options market has been low in recent weeks, as seen below.
A similar difference in performance is seen in futures binding with two top cryptocurrencies.
Data indicates that investors’ focus is shifting from bitcoin to ether, and Ethereum is seeing solid organic growth this year, most recently Tweeted by Spencer Noon of DTC Capital.
In a report released by digital-asset manager CoinShares on April 26, Ether funds and investment products saw $ 34 million in revenue in the third week of April, while Bitcoin funds lost $ 21 million.
“New investor money has been flowing into digital assets since the 3rd quarter of last year, but investor objectives continue to change,” said Jeff Dorman, Arca’s chief investment officer. Market reprint released On Monday. “Over the past few months, investor interest has been asking ‘Can I particularly distinguish between bitcoin, ethereum and other digital assets?’
Analysts predict continuous bull flow in ether Some betting $ 10,000 at the rally. Therefore, more and more traders and investors may take up plain positive or rough challenges to control their spot market exposure in the ether derivative market.
At the time of the press, Ether’s options market would be decisive in cryptocurrency as the one-, three- and six-month put-foot curves traded below zero – the identification of calls (positive challenge) was greater than the demand for putts.