Bitcoin Shows Medium Degree of Negative Volatility After Recent Bull Run

11. Dec 2020 Posted by WorldCoinIndex on Derivatives report

This week has shown an expected degree of negative volatility, following the recent bull run. We’ve seen the prices near the $20K threshold, but bitcoin has dropped to $17,764 at press time. As always, a quick price drops encourage panic selling, thereby leading the price even lower. However, there’s no reason to be alarmed, given the fact that the market has in no way collapsed. Most analysts believe that this evolution is nothing out of the extraordinary. With this being said, the bitcoin price will likely recover and proceed to reach a new all-time high in the near future. For many, this is an excellent buying opportunity.

This week, bitcoin had a price peak of $19,400, alongside a low of $17,666. The total cryptocurrency market cap is currently reported at $506 billion.

ETH is currently trading at $542, XRP at $0.54, LTC at $71, EOS at $2.68, and BCH at $258.

Weekly derivatives summary analysis

Here’s a quick preview of the main events that have occurred on the cryptocurrency derivatives market.

First off, the crypto derivatives aggregated volume has slightly increased from $32.38 billion last week, to $37.95B today.

Here’s a brief look at trading volumes by derivatives category:

  • The perpetuals trading volume is reported at $341M, growing briefly from $260M.

  • The futures trading volume is reported at $6.67B, slightly higher than $5.82B last week

  • The options trading volume is reported at $30.93B, higher than last week’s $26.30B

A quick look into the current open interest rates

At this point in time, the total aggregated open interest volume is situated at $12.05B, a value that has remained mostly similar when compared to last week’s trend.

From a category standpoint, perpetuals report an open interest of $5.24B, followed by $2.81B for futures, and $3.99B for options.

Relevant cryptocurrency derivatives news

  • FTX exchange lists Airbnb’s Pre-IPO derivatives contract for trading, prior to the official listing on Nasdaq
  • Report showcases that crypto derivatives volume hit a whopping $1.32 trillion during the month of November
  • Bittrex global announces the listing of tokenized stocks for big companies like Apple, Tesla, and Amazon

 

Resources

https://www.worldcoinindex.com/derivatives

https://www.worldcoinindex.com/openinterest

https://www.worldcoinindex.com/perpetuals

https://www.worldcoinindex.com/futures

https://www.worldcoinindex.com/options

https://www.worldcoinindex.com/exchange/perpetuals

https://www.worldcoinindex.com/exchange/futures

https://www.worldcoinindex.com/exchange/options

 

Risk Disclaimer

This article includes information about cryptocurrencies, derivatives and other financial instruments. Both cryptocurrencies and derivatives are complex instruments and trading digital assets involve significant risk and can result in the loss of your invested capital. All data and information is provided “as is” for personal informational purposes only, and is not intended for trading purposes or advice. Please consult your broker or financial representative to verify pricing before executing any trade.