According to data from Skew Analytics, aggregate open interest for Chicago Mercantile Exchange (CME) Bitcoin futures is currently sitting at an all-time high. Open interest refers to the total number of outstanding futures contracts, that have not been settled. Aggregate open interest provides a more accurate picture of the future trading activity, and whether money flows into the futures market are increasing or decreasing. Aggregate open interest for Bitcoin futures has been growing rapidly in 2020.
As of August 6th, the Chicago Mercantile Exchange (CME)‘s open interest for Bitcoin futures is sitting at $830 million, more than doubling from the previous month.
To get a better understanding of the overall Bitcoin futures market, refer below to the aggregate open interest chart which shows open interest across all major Bitcoin futures markets. As you can see OKEX is the global leader right now at $1.2 billion, followed by Bitmex at $980 million, which is then followed by the Chicago Mercantile Exchange (CME) at approximately $830 million.
Unlike volume data, futures contracts open interest provides a better picture of investors’ total risk exposure. The sharp rise in Bitcoin futures open interest, specifically on the Chicago Mercantile Exchange (CME) shows that institutions are paying close attention and continue to enter this asset class. Overall this is a very positive sign as it shows progression in the market and general upward momentum for Bitcoin especially from institutions.
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