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Bitcoin Hitting an all-time high of nearly $81,000, futures premiums surged, a clear sign that investors believe the world’s largest cryptocurrency’s record run will rise further amid a pro-crypto surge seen in the U.S. election. People win public office.
Open interest in Bitcoin prices above $90,000 rose to more than $2.8 billion on the popular Deribit derivatives exchange, one of the few crypto-native platforms that offers futures trading. Deribit covers most of the offshore options market.
Vetle Lunde, head of research at K33 Research, told CNBC: “The options market is heavily biased towards continued momentum. Call options are trading at a premium to puts, and open interest in out-of-the-money calls has increased.
A call option gives the buyer the right to purchase shares of an underlying asset at a specific price within a specified time period. Buying a call option is a bet that the price of an asset will move higher. Buying a put option is a bet that the price of an asset will fall.
The CME Group Derivatives Exchange offers Bitcoin futures contracts, a popular way for U.S. institutions to bet on the future price of Bitcoin. Velde told CNBC that CME’s premium on Friday ether The average proportions for Bitcoin are 14.5% and 14% respectively. Velde said those premiums were 7% before the election and have hovered just below 10% for much of the past six months.
“The recent spike is a meaningful departure and underscores the recent bullish flows,” he added, noting that yields more or less stabilized in the double digits after the election outcome became clear.
“In addition to the growth in leverage, we are seeing the first meaningful example of growth in offshore derivatives yields, suggesting this move is being driven by committed risk-takers gearing up for further upside,” Wilder said. Good preparation leads.
The early stages of Bitcoin’s rally coincided with a significant increase in open interest in perpetual swap contracts, which allow buyers to speculate on where they think prices will go without a set expiration date.
But Velde said cryptocurrency markets are typically less liquid on weekends than on weekdays because neither CME futures nor ETFs are open for trading, so once those markets open again, trends tend to overreact and retrace sharply.
President-elect Donald Trump promised during his campaign to turn the United States into the “crypto capital of the earth.” Among his many promises to the cryptocurrency community are launching a national cryptocurrency reserve, which includes more than $16 billion in Bitcoin accumulated through asset seizures by the U.S. government, and slashing interest rates. Easing monetary policy often coincides with surges in cryptocurrency prices, as it makes it cheaper to borrow money.
The Federal Reserve is responsible for guiding the country’s monetary policy and setting benchmark interest rates. By design, it also operates independently of the White House. On Thursday, the Federal Reserve approved its second consecutive rate cut.
Cryptocurrency markets generally surged over the weekend on the back of the election results and the Federal Reserve’s unanimous vote to cut benchmark interest rates again. ether Bitcoin’s gains outpace Bitcoin’s gains, up 30% in the past seven days Solana’s The market capitalization topped $100 billion on Sunday.
The total market value of all spot Bitcoin ETFs currently exceeds US$80 billion. In the past three trading days alone, the total market value of spot funds has increased by a total of US$2.3 billion.
In the fintech space, crypto-related companies were among the top performers after crypto industry-funded candidates won up-and-down vote races.
Coinbase shares are up 48% this week, their strongest performance since January 2023. The $25 million pledged supports a pro-crypto super PAC in the 2026 midterm elections.
Trump’s vow to oust SEC Chairman Gary Gensler could bode well for companies like Coinbase that are battling regulators in court over alleged securities crimes.
“Tuesday night is certainly a big night for crypto and crypto voters,” Paul Grewal, chief legal officer of Coinbase, said in an interview. “We are going to have the most pro-crypto Congress ever, and Coinbase is in the midst of all of this. played a certain role.”
Robinhood, which allows users to buy and sell multiple digital currencies, rose 27% this week. The online brokerage received a Wells Notice from the U.S. Securities and Exchange Commission (SEC) in May, a move that typically precedes formal charges.
The general manager of Robinhood’s crypto division told CNBC that Robinhood’s goal is to be able to work within the government.
“If you think about cryptocurrency, you’ll see that it’s evolving very quickly. It’s complex and it was created by engineers for engineers,” said Johann Kerbrat, vice president and general manager of Robinhood Crypto. “We want to help policymakers understand This and helps them provide the right protection for their customers.”
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