Approximately 247 days ago, total open interest in bitcoin futures on 12 different cryptocurrency derivatives trading platforms was $26.73 billion, and over the past eight months, bitcoin futures open interest has decreased 60% to down to $10.69 billion. Additionally, bitcoin exchange-traded funds BITO and BTFs have followed the losses in the bitcoin spot market, while bitcoin ETFs have lost 70% to over 73% in value from last year’s price highs.
Bitcoin-listed mutual funds lose more than 70% in value against the U.S. dollar
On November 10, 2021, the global 24-hour spot market volume for the crypto economy was approximately$181.5 billion, with over 10,000 crypto assets valued at approximately $3.13 trillion. Currently, crypto spot market trading volume is down 37%, with global 24-hour trading volume on July 15 at $114 billion, with 13,400 crypto assets in the crypto economy recording an overall value of about $980 billion.
Over the past eight months, data shows that the bitcoin futures market and BTC-centric exchange-traded funds (ETFs) have suffered deep losses during this year’s crypto bear market. Last year, when a U.S.-based bitcoin ETF was approved, the fund traded at a much higher price, followed by aBTC‘spot market downturn.’
Valkyrie’s Bitcoin Futures ETF, a Nasdaq fund using the ticker BTF, traded at $26.67 on November 9, 2021, and on July 14 the BTF price closed 70.19% lower at $7.95. The ProShares Bitcoin ETFlisted on the NYSE, BITO, has seen comparable losses, falling 73.87% from $48.80 to $12.75 over the past eight months.
Open interest in bitcoin futures slides, options and futures volume surges
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Total open interest in bitcoin futures, as well as Valkyrie and Proshares’ bitcoin ETFs, is also declining trend. According to recorded dataLast November, open interest in bitcoin futures was very close to the all-time high of approximately $27.29 billion printed on April 14, 2021.
On November 10, 2021, the total open interest in bitcoin futures was $26.73 billion, with bitcoin (BTC) trading that day at$6876 per coin. Then, according to statistics recorded on Thursday, July 14, 2022, open interest in bitcoin futures was $10.69 billion, 60% lower.
Bitcoin futures volume declined this past April, but theindicatorshowsBTC futures volume surged in May, reaching $1.32 trillion in June and increasing further. Leaders in the bitcoin futures market in terms of monthly trading volume include crypto exchanges such as Binance, Bybit, Okex, FTX, and CME Group.
Bitcoin options open interestfollowed the same patternasbut BTC futures open interest, while Bitcoin options volume alsoincreasedin May and June. Stocks with exposure to crypto assets likeBTCas well as bitcoin derivatives and exchange-traded funds like Coinbase Global, MicroStrategy, Marathon, Silvergate, Riot, and others BTChave been following the bitcoin spot market has also followed the market’s movements.
What do you think about bitcoin ETFs and derivative products following the same pattern as the bitcoin spot market over the past 8 months? Please share your thoughts on this topic in the comments section below.
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