Ethereum has hit some milestones recently as the craze around The Merge continues. The markets generally record lows in the derivatives section, with BTC funding rates plummeting. Despite disturbing statistics, the ether derivatives market has maintained a bullish outlook. As a result, recent records show ETH catching up with BTC in Options Open Interest.
Ethereum Options OI surpasses BTCs for the first time
Scandinavian crypto investment firm Arcane Crypto recently released an update on the crypto derivatives market. The article highlighted the worrying situation of the BTC options market over the past week. Amid these concerns, Ether futures appear to have shone.
According to a chart, Ether Options Open Interest (OI) recently rose to a new ATH of $8.2 billion. For years, Options OI in BTC has surpassed that of Ether, and that’s understandable. However, with the recently registered $8.2 billion in OI, Ether appears to have surpassed BTC’s OI, which stands at $5.4 billion. This will be the first time Ether’s OI surpasses BTC’s.
In addition, the medium-term strike data for Ether options showed implied volatility of 100%. On the other hand, BTC options seem to have registered an implied volatility of around 70%. The report takes into account three busy strike dates. These strike dates are September 30, December 30 and March 31.
Ethereum Merge Affected Ethereum’s Favorable Performance
According to the report, Ether’s favorable performance in the derivatives division can be attributed to the build-up to The Merge. Ethereum has remained at the center of almost all community discussions, with the merger approaching. As popularity spreads, bullish sentiments are gaining traction and interest rates are rising.
In addition, Ethereum’s funding rate also looks promising. The funding rate indicates a dominance of long position traders in the market. In addition, short positions, which reached $31 million in the past 24 hours, seem to have more liquidated.
With The Merge slated for September 15-16, the hype has significantly boosted Ether’s market sentiment. ETH’s Coinbase Premium Index is currently pointing to relatively strong buying pressure on US institutional investors. At the time of reporting, ETH is currently trading at $1,892, after gaining 11% in the past week.
Abigal .V. is a cryptocurrency writer with over 4 years of writing experience. She focuses on news writing and is adept at finding current topics. She is a fan of cryptocurrencies and NFTs.
The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication is not responsible for your personal financial loss.
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