Deribit options open interest reaches all-time high amid rising demand for bitcoin calls
Quick Take
- Deribit options open interest has hit an all-time high, driven by surging institutional and retail interest in crypto options, the derivatives exchange CEO said.
- Bitcoin options trading volumes have also soared, reflecting bullish sentiment as the asset hovers around the $90,000 mark, with increased demand evident in both call options and positive funding rates.
Deribit, the world’s leading digital assets derivatives exchange, reached an all-time high in options open interest Thursday, with $37.6 billion across bitcoin and ether contracts, bringing the total platform open interest to $40.8 billion.
"The record high open interest isn’t just a reflection of rising prices, it also signals heightened overall adoption of options in the crypto derivatives space. Institutions as well as retail investors are increasingly turning to crypto options attracted by the liquidity, robust hedging mechanisms, and precision risk management strategies this instrument class offers," Deribit CEO Luuk Strijers told The Block.
Strijers said that as institutional involvement deepens, he expects continued growth in open interest, which will add stability and maturity to the crypto derivatives landscape.
The derivatives platform is also experiencing record trading volumes across normal futures and perpetuals, with bitcoin futures trading volume reaching $1.42 billion and bitcoin perpetuals at $1.07 billion. Ethereum futures and perpetuals are similarly high, with volumes of $329.5 million and $304.4 million, respectively.
Increase in bitcoin options trading volume
According to Kaiko Research, bitcoin options trading volumes on Deribit rose sharply at the beginning of the week as the digital asset approached $90,000. On Monday, the daily trading volume of bitcoin options exceeded $8.2 billion, $5 billion of which were call options, reflecting bullish market sentiment. Analysts at Kaiko noted that since November 6, the day after the U.S. election, there has been a significant increase in demand for calls on Deribit, with strike prices between $90,000 and $120,000 for the December 27 expiry.
Bitcoin options trading volume surges on Deribit. Image: Kaiko Research.
"Options activity on Deribit indicates that traders expect the current rally to continue through the end of the year," the Kaiko research analysts said.
Kaiko also observed that perpetual futures funding rates have turned positive, indicating growing bullish demand. "However, funding rates are still lower than in March, when bitcoin was at its former all-time high. This suggests that the recent move is not driven by excessive leverage," Kaiko Research added.
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