Recent data indicates that open interest in Ethereum futures on CME has reached a significant milestone, reflecting an increase in institutional demand for the cryptocurrency.
Historic Growth in Ethereum Futures
According to CryptoQuant data, open interest in CME Ethereum futures has surpassed $10 billion for the first time. This figure represents the total market value of active contracts. Moreover, as of early August, the number of investors holding substantial open positions reached an unprecedented count of 101.
The CME market features both standard contracts of 50 ETH and micro contracts of 0.1 ETH, the latter gaining considerable attention. Over 500,000 micro contracts remain open, while the options market reported an OI exceeding $1 billion. Furthermore, as per SoSoValue data, spot Ethereum ETFs in the US witnessed inflows of $3.69 billion since the start of August, pushing the total inflow to $13.64 billion.
BitMine's Goals for Acquiring Ethereum
Tom Lee, a renowned analyst leading BitMine, aims for the company to control 5% of Ethereum’s total supply. Holding 1.7 million ETH already, BitMine needs an additional purchase of 4.3 million ETH to reach this goal, amounting to an approximate investment of $19.5 billion at current prices.
BitMine’s recent maneuvers indicate progress towards such objectives. The company’s treasury expanded by $2.2 billion within a short span, which includes a new acquisition of 190,000 ETH valued at $873 million. Consequently, total Ethereum assets under BitMine’s control rose from 1.52 million to 1.71 million, with a total asset worth of $8.8 billion.
Expectations and Predictions from Analysts
Lee has long been optimistic about cryptocurrencies, holding a price target of $1 million for Bitcoin and $60,000 for Ethereum. He is also known for comparing early crypto adoption to a global model of universal basic income that has yielded significant profits for early adopters.
Thus, the rising interest in Ethereum futures and active actions from firms like BitMine suggest a growing trend of institutional investments and potential shifts in the dynamics of the cryptocurrency market.
