|
|
According to Bloomberg, the launch of Bitcoin spot ETFs in the United States has resulted in a slowdown in investor demand for Bitcoin futures, offering an initial indication of how this product might impact cryptocurrency trading trends. Data indicates that since the introduction of 10 spot ETFs three weeks ago, as of January 30th, the open interest in CME Bitcoin futures contracts has decreased by approximately 24%, to 20,679 contracts. Last year, Bitcoin prices surged 157% in anticipation of ETF approval, setting a record high for open interest.
One reason for the popularity of CME derivatives is that they provide regulated venues for Bitcoin exposure, a role now assumed by spot ETFs as well. Cryptocurrency asset management firm DACM noted that these futures were also utilized for crucial arbitrage activities involving Grayscale's GBTC, but such arbitrage trading has now ceased.
Vetle Lunde, Senior Analyst at K33 Research, suggested that investors shifting to U.S. ETFs and the cooling Bitcoin trend may lead to a "reduction in activity" in CME Bitcoin futures, although they remain key to liquidity in the cryptocurrency market. He pointed out that they might serve as hedging tools for authorized participants managing ETF share creations and redemptions.
Richard Galvin, Co-founder of DACM, stated: "Due to the negative premium of GBTC, going long GBTC and shorting CME Bitcoin futures was a popular trade. This trade has paid off, leading investors to sell their GBTC shares and close out their CME positions, resulting in the decrease in open interest." |
|
Post time 16-2-2024 14:58:45