WorldCoinIndex Derivatives Report 2020 – Week 29

Over the last 7 days, cryptocurrency prices have faced a short decline, yet we are nowhere close to a bear market, as values are likely to increase once again. With this in mind, in the case of bitcoin, a price peak of $9,339 was reported this week, yet the value then further dropped to the press time price of $9,129. The lowest value reported this week for BTC was of $9,053. The total cryptocurrency market cap is currently reported at $269.73 billion, slightly higher when compared to last week’s value.

ETH is currently trading at $233, XRP at $0.19, LTC at $41.86, EOS at $2.49, and BCH at $223.14.

 

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 dropped considerably when compared to the value recorded last week. As such, at press time, the total trading volume for derivatives is estimated at $9.27B, much lower than last week’s $17.21B.

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

The options trading volume is situated at $96.21, much lower than last week’s $121.4M.

The futures trading volume has also dropped to $2.09B from $4.31B.

The perpetuals volume also faced a steep drop from $12.79B to $7.08B.

 

It is very likely that higher trading volumes will be attained in the future, yet the recent sharp drop does, in fact, worry investors throughout the world. However, technical analysis and the advantages of derivatives trading indicate that this is certainly not the end for this market; rather, it represents an obstacle that will surely be surpassed.

Over the last week, however, a very high daily volume increase was recorded in the case of the Chainlink perpetuals. As such, on the 10th of July, the Chainlink perpetual recorded an open interest of $35.03M, alongside a volume of $16.72M on FTX, $14.76M on OKEX, $56.82M on Huobi, and $148.16M on Binance.

At this time, however, the perpetual holds an OI of $74.38M, alongside a trading volume of $27.72M on FTX, $64.56M on OKEX, $292.51M on Huobi, and $403.63M on Binance. There are several reasons behind this surge, including the purchase of new tokens by new users, an increase in exposure by veteran investors, and the growing appeal of altcoin-based derivatives. However, some believe that a rapid crash is incoming for Chainlink, but this remains to be seen.

 

A quick look into the current open interest rates

The current total open interest across all derivatives is approximated at $6.22B, on the rise when compared to last week’s $5.85B.

From a category standpoint, perpetuals report an open interest of $3.2B, followed by $1.8B for futures, and $1.21B for options.

 

 

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.