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The Chicago Mercantile Exchange, a regulated exchange for derivatives, has currently secured the 2nd position among Bitcoin futures exchanges. The respective development has been seen after a considerable rise in the open interest of the CME, placing it at $3.58B on the 30th of October. This pushed the regulated CME platform to rise by 2 spots compared with the recent week.

CME Secures the 2nd Spot for the Exchange of Bitcoin Futures

In this respect, the CME surpassed the well-known crypto exchanges Bybit as well as OKX. Bybit had an open interest of up to $2.6B while OKX’s open interest was placed at $ 1.78B. In the case of Binance, the CME is standing at the distance of a few million as the former has an open interest of nearly $3.9 billion. The CME’s standard BTC futures contract has a value of approximately 5 Bitcoin.

On the other hand, the micro contract has a worth of up to the 10th of a BTC. The offshore exchanges chiefly focus on perpetual futures rather than ordinary futures contracts for open interest. This is because perpetual contracts do not have an expiration date. The respective contracts utilize the method of funding rate for the maintenance of their price parity with the market rate.

BTC Futures Contracts Move Beyond the Figure of 10,000 Bitcoin in Volume

The open interest of Bitcoin deals with the cumulative number of BTC options or futures contracts. It gauges the figure of funds invested in BTC derivatives at the specified time. The purpose of the open interest is to measure the capital’s outflow and inflow in the market. In the case of the capital’s flow to BTC futures, a decrease will take place in the open interest. Thus, the rising open interest signifies a bullish sentiment.

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On the other hand, a slump in the open interest shows a bearish sentiment. The elevating open interest of the CME assisted the regulated exchange of futures to rise to the  2nd position. In addition to this, the volume of futures contracts (which were cash-settled) surpassed the level of 100,000 Bitcoin.

The surging trader interest in BTC futures has enabled the CME to account for twenty-five percent of the market share of Bitcoin futures. A huge proportion of the investment related to the futures at the CME has been made through the typical futures contracts. The respective development points toward a significant increase in the organizational interest in dealing with Bitcoin.

Bitcoin Attains One-Year High Price Level at $35,000

A possible factor that is responsible for this relates to the recent progress that the top crypto asset made. Bitcoin has remained effective in making a huge elevation during the current month. This has helped the prominent digital asset to touch an exclusive one-year high, surpassing the level of $35,000.

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Nathan Ferguson

By Nathan Ferguson

Nathan Ferguson is a talented crypto analyst and writer at Herald Sheets, dedicated to delivering comprehensive news and insights on the ever-evolving digital currency landscape. With a strong background in finance and technology, Nathan's expertise shines through in his well-researched articles and thought-provoking analysis. He holds a degree in Economics from the University of Chicago, and his passion for cryptocurrency drives him to stay up-to-date with the latest industry trends and developments.