- For the first time in two years CME surpassed Binance.
- Binance open interest (OI) was down 7.8 percent to $3.8 billion.
For the first time in two years, the regulated Chicago Mercantile market (CME) surpassed Binance as the largest bitcoin (BTC) futures market on Thursday.
According to CoinGlass statistics, CME has a higher market share than any other futures and perpetual futures exchange at 24.7%, with an open interest (OI) of around $4.07 billion, an increase of almost 4% over the last 24 hours.
Meanwhile, Binance OI was down 7.8 percent to $3.8 billion. Futures contracts having a set expiration date are available for trading on the CME. Traditional futures contracts, as well as perpetual contracts or futures with no expiration date, are available on Binance and other exchanges.
CZ, CEO of Binance, tweeted about this recent development, saying that US institutions are pushing into cryptocurrency and asking the community for an update on the situation of their country.
Dramatic Price Fluctuations
The crypto market went through a huge leverage flush out amid dramatic price fluctuations, causing the aggregate bitcoin open interest to fall by $2 billion from $12 billion, which contributed to the shift in rankings. Binance traders were hit worse than CME market participants by the drop.
After it was revealed that “iShares Ethereum Trust” had been filed in the state of Delaware by BlackRock, the price of bitcoin initially rose to a high of about $38,000, then abruptly returned back around $36,000. At the time of writing, Bitcoin is trading at $36,467, down 0.29% in the last 24 hours as per data from CoinMarketCap.
CME’s slow ascent to the top this year is noteworthy, as it reflects the increasing desire from institutional market players to trade BTC. According to research released in 2020 by Bitwise Asset Management, the CME bitcoin futures market consistently and statistically significantly outperforms the spot market.
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Source: https://thenewscrypto.com/cme-overtakes-binance-as-top-bitcoin-futures-market/