Bitcoin Moons and Breaks $40K for the First Time, Derivatives Volume Reaches Yearly Record

During this week of the year, the cryptocurrency market has continued its unstoppable bull run, with most coins growing in value. As expected, bitcoin remains the all-around champion, as the coin has surpassed the $40K mark. In fact, it reached an all-time high of $41,757, a value that it may once again break as the coin is showing no signs of slowing down.

Furthermore, the total cryptocurrency market cap has broken through $1 trillion for the first time ever. Currently, it is estimated at $1.06 trillion, thereby becoming a direct competitor to the world’s most valuable companies.

At press time, BTC is trading at $41,066, ETH at 1,236, XRP at $0.31, LTC at $170, EOS at $3.13, Stellar at $0.29, and Chainlink at $15.61.


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 grown tremendously, surpassing the volume obtained in previous weeks. It is currently reported at $161.86B, a significant rise when compared to last week’s $50.27B. As such, our previous assessment that the derivatives volume would rise considerably throughout January was accurate. Despite this, market sentiment indicates that derivatives traders find themselves feeling relatively uncertain about the market’s future.


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

-      The perpetuals trading volume has risen from $39.95B last week, to $132.03B today

-      The futures trading volume has also increased from $9.71B to $28.35B

-      The options trading volume is no different; this time, it surpasses the $1 billion threshold, reaching $1.47B.


A quick look into the current open interest rates

At this point in time, the total aggregated open interest volume is situated at $32.24, only slightly higher when considering last week’s $16.71B.

From a category standpoint, perpetuals report an open interest of $9.41B, followed by $4.55B for futures, and $9.27B for options.


Relevant cryptocurrency derivatives news

  • BitMEX derivatives exchange completes KYC verification for all of its users
  • The UK’s FCA has banned retail cryptocurrency derivatives trading, an action that is now officially in effect
  • EQUOS has introduced bitcoin perpetual futures contracts




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.