The activity of Ether futures grows in view of the updating of the protocol

L’attività dei future Ether cresce in vista dell

BitMEX announced on Friday a new quarterly based ether product, which it called "the only one of its kind available on the market."

There is turmoil for the transition to ETH 2.0

Implemented in bitcoin, the contract trades the ether-dollar pair and expires in June. This coincides with the scheduled launch of ETH 2.0 in July, an event that Ethereum researchers are very sure of. Long positions in ether's perpetual futures on Bitfinex are also growing sharply in this phase prior to the Ethereum update.

These contracts began to rise significantly from mid-March, immediately after the ether price plummeted to just over $ 100. While quarterly futures have contractual maturities four times a year, perpetual futures are exchanged without expiration dates.

This offers operators some of the advantages of the futures markets, such as high leverage, mimicking the behavior of spot market prices. "Being an important source of ETH liquidity, Bitfinex obviously has many ETH traders," said Paolo Ardoino, CTO of Bitfinex.

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Comments are favorable

"The launch of ETH 2.0 is closely followed by investors and stakeholders," said Ardoino. The open interest for ether futures on Bitfinex is just over $ 500,000 at the time of publication, while the open interest on BitMEX, the largest market for ether futures, is just under $ 80 million, according to the CoinGecko data aggregator.

Bitfinex traders who take longer positions in ether futures could signal a speculative rise in view of the launch of ETH 2.0 as well as hedging strategies or arbitrage incentivized by financing rates.

Cryptocurrency over-the-counter desks are also seeing higher demand for ether from investors after the recent March lows and the scheduled launch of ETH 2.0. "We had a fair flow of ETH purchases in the last fall of mid-March with some large investors positioning themselves on the next 2.0 update," said Ricky Li, co-founder of the trading company Altonomy and former director of research and products. for the CME group.

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But the flow of buying bitcoins is still "diminishing" other cryptocurrencies, Li says. However, operators may be more confident than other sectors of the Ethereum community.

A community that remains enthusiastic despite the delays

After previous delays in the launch of the ETH 2.0 mainnet, some members of the Ethereum community are more "cautiously optimistic" as the July launch date approaches, said Ethereum analyst at Messari's Wilson Withiam. The launch of the ETH 2.0 mainnet has "too many variables that developers can't consider at the moment," Withiam said.

But the community is generally enthusiastic about ether's staking, and although the launch has been delayed again, "it shouldn't reduce the community's enthusiasm for this bet," Withiam said.


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