Ethereum contracts valued at more than $ 30 million changed hands on the first day of trading on the Chicago Mercantile Exchange (CME)
Bitcoin fundamentals and past price history
With the introduction of the highly anticipated Ethereum Futures from CME, ETH contracts valued at more than $ 30 million changed hands on the first day of trading. The market opened on February 8th. 388 contracts were traded in CME’s new ETH product and 303 of those contracts were speculating on the price in February. The rest of the contracts were split between the expiration dates March (84 contracts) and April (only 1 contract).
Each CME contract corresponds to exactly 50 ethers, with the exchange setting the minimum trade value at five contracts – currently valued at over USD 450,000 at current prices.
CME’s ETH futures traded for $ 1,826.5, a price premium of 1.5% over the spot markets. The data shows that the majority of contracts traded will expire in February, with most traders speculating that Ether will close the month somewhere near its current price level.
In the days before the start of the ETH futures market, there was a significant upward momentum for the Ethereum spot market, the price of which rose to new all-time highs of just over USD 1,800. The rise in prices was caused by the growth of the DeFi sector as well as unprecedented social engagement.
Mythos Capital founder Ryan Adams stated that “another flippening” had occurred, referring to CoinMetrics data showing that Ethereum outperforms Bitcoin in the set value of its respective blockchain.
Ethereum now puts more value in ETH than Bitcoin in BTC. Ethereum is the largest trusted money processing network today.
They say the reserve currency status is the last to fall when an economic power is overwhelmed.
1 flip left. pic.twitter.com/W0Wq65Da25
– Ryan Sean Adams – @ rsa.eth (@RyanSAdams) February 9, 2021
According to the Blockchain Center’s “Flippening Index,” an index that attempts to measure the strength of Ethereum versus Bitcoin (using eight key metrics), the second largest cryptocurrency by market capitalization has already overtaken Bitcoin by four of the eight indicators, namely :
- Number of transactions;
- Transaction volume;
- Number of nodes;
- Total transaction fees
The index is currently at its highest level ever, measuring 72.4% progress in flipping.