Expanded institutional involvement fueling Ethereum's progress as CME futures achieve a $10 billion peak record
In a significant development for the cryptocurrency market, the open interest in Ethereum (ETH) futures has reached a record high of $10 billion. This milestone marks the first time the notional open interest in ETH futures has surpassed this figure.
The surge in ETH's price has vindicated token holders and contributed to the increased interest in ETH futures. The rise in Ether's price has been accompanied by a notable shift in capital from Bitcoin (BTC) to Ethereum. This rotation began after Tom Lee's company, BitMine Immersion Technologies Inc., started accumulating ETH in early July.
BitMine Immersion Technologies Inc. has become the largest Ethereum treasury company and the world's second-largest cryptocurrency treasury, with a stash of 1.7 million ETH. The value of BitMine's Ethereum treasury currently stands at approximately $7.88 billion.
The capital rotation from Bitcoin to Ethereum has been reflected in the changing market shares. While BTC's market dominance has shrunk from 64.5% to 57.5% since early July, according to data from CoinMarketCap, Ethereum's market share has grown from 9.2% to 14.4% in the same period.
This shift is also evident in the performance of the two cryptocurrencies. While BTC has posted only a 2.9% gain, ETH has surged by a massive 82% in the same period, reflecting the capital rotation.
The increase in Ether futures open interest suggests a bullish sentiment among investors and institutions. In fact, Ether notional options open interest has exceeded $1 billion, reaching a year-to-date high of over 4,800 contracts.
Interestingly, the number of large open interest holders in ETH futures on the CME recently crossed 100 and stopped at 101. This indicates a growing interest among institutional investors in Ethereum futures.
Meanwhile, U.S.-listed spot exchange-traded funds (ETFs) have attracted $3.69 billion this month. However, the article does not provide new information about any major CEX listings for Remittix or record $4.6B validator exit queues for Ethereum as profit-taking accelerates.
As Ether's native token, Ether, continues to rise, even hitting lifetime highs above $4,900 this month, the cryptocurrency market is poised for further developments and potential record-breaking milestones.
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