CME Bitcoin futures spike throughout US presidential election

As votes got here in on the evening of Nov. 3, the day of the U.S. presidential election, Bitcoin’s (BTC) quantity soared on the Chicago Mercantile Change, or CME. 

“In a single day, earlier than 9:00am NYT over 6,700 Bitcoin futures contracts traded (33,500 equal Bitcoin), 75% greater than what has been noticed YTD [year-to-date] and greater than double the quantity noticed since launch,” a CME Group spokesperson advised Cointelegraph on Wednesday.

6,700 BTC CME Bitcoin futures contracts traded between 5 PM CST on Nov. 3 and eight AM CST on Nov. 4. CME Bitcoin futures commerce 23 hours per day, between 5 pm and 4pm. Every contract is value 5 BTC. That signifies that in a single day throughout the U.S. presidential election, the CME hosted 33,500 Bitcoin in buying and selling quantity, equal to roughly $462 million, primarily based on a tough estimate of Bitcoin’s common worth throughout that window. 

Such quantity stands 75% increased than the trade’s common motion hosted throughout that very same time window on another evening over the previous yr, the spokesperson clarified. 

Moreover, the trade hosted extra large gamers than ever earlier than. “Forward of the election, the variety of Lengthy Open Curiosity Holders (LOIHs, giant merchants as outlined by the CFTC) to a brand new report, 102,” the spokesperson mentioned. 

November additionally began off sizzling, displaying a rise within the variety of Bitcoin positions contributors held, often called open curiosity, or OI. “Common day by day futures OI over the primary two days in November is up 20% over October to 11,929 contracts,” they famous. November’s early motion logically got here with little shock, given the constructing buying and selling curiosity seen close to final month’s finish, expressed in common day by day quantity, or ADV. The spokesperson mentioned:

“Bitcoin futures weekly ADV grew considerably within the week resulting in the election. On common 11,428 contracts (57,140 equal Bitcoin) traded day by day on the final week of October up 164% from the primary full week in October.”

The CME is wanting again on a constructive yr for Bitcoin buying and selling, whereas Bitcoin itself has yielded an amazing run up to now, particularly given its March 2020 low close to $3,800. The asset has reached costs not seen in practically three years.