Megaphone icon ETF Database is now VettaFi. Read More >
ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • Entrepreneur ETF
    • Equity ETF
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Future ETFs
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Modern Alpha
    • Multi-Asset
    • Multi-Factor
    • Portfolio Strategies
    • Retirement Income
    • Smart Beta
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Videos & Podcasts
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Crypto Channel
  2. Data Shows Increasing Open Interest for Bitcoin Futures
Crypto Channel
Share

Data Shows Increasing Open Interest for Bitcoin Futures

Parker DoyleOct 13, 2021
2021-10-13

After trending downward this year, CME BTC futures open interest has risen 33% from Sep 7th–Oct 5th after slumping in the beginning of the year, according to Forbes.  

Open interest refers to the total number of derivatives contracts that have yet to be settled for an asset. Open interest data can provide a way to assess derivatives trading activity. Additionally, open interest can be used to indicate trend strength — whether money is going to continue entering or exiting a particular market.

Positive growth in open interest tends to positively correlate with price increases, but does not directly drive them — bitcoin was up 280% last year, while Bitcoin futures OI was up about 97%. This year, bitcoin has been up 83%; meanwhile, Bitcoin futures OI was down about 17% for most of this year. 

Additional data from Forbes shows that corporate hedgers have increased their purchases of Bitcoin futures, while commercial traders who decreased bitcoin holdings to buy ether have begun to buy back into bitcoin. 

Although U.S. regulators have repeatedly stated an interest in ETFs holding Bitcoin futures, none have been approved. For investors looking to gain exposure to Bitcoin futures, the Bitcoin Strategy Profund a familiar vehicle for doing so. 

BTCFX launched in late July and has since seen steady growth. BTCFX primarily invests in Bitcoin futures traded on the CME, specifically “front month” futures contracts. 

Front month contracts are contracts closest to their expiration date and are the most liquid type of futures contract, as well as the most closely linked to the underlying assets’ spot price. The fund does not hold bitcoin directly. 

ProFunds affiliate ProShares is one of several issuers that has filed for a Bitcoin futures ETF with the SEC; however, the regulator has yet to make a decision on any of the 20 or so crypto asset products currently under review. 

For more news, information, and strategy, visit the Crypto Channel.

Loading Articles...
Help & Info
  • Contact Us
  • Mission Statement
  • Press
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © ETF Flows LLC
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X