CME Bitcoin futures market volume exceeds $1b for the third time

According to recent data, Bitcoin futures markets are once again seeing surge inactivity. Only yesterday, CME Bitcoin futures market’s daily volume once again managed to reach $1 billion, which marks the third time that it did so since the launch of Bitcoin futures.

The demand has been on a sharp rise as of late, likely encouraged by the optimism regarding the expected performance of BTC and other major cryptos in 2020. Bitcoin halving is only a few months away now, and the interest has been surging in all areas of the crypto industry, including the futures market.

Of course, the overall activity in the futures market is significantly higher, but CME alone saw BTC futures record a daily trading volume of $1.1 billion yesterday.

Is the surge in the volume of futures a bullish signal?

While the crypto market started seeing a surge in interest recently, the explosion of the volume of this type was not seen in nearly a year. In fact, the last time that CME saw daily volume for Bitcoin futures was in May 2019. Typically, the normal level of volumes sits at around $300 million, although often it is significantly lower than that. Now, however, the markets seem to be hotter than they were for a long time.

Of course, the surge in interest in Bitcoin futures comes after the surge in Bitcoin’s price, itself. The price started the year at $7,300, but it was not long before it rallied to the current $9,790. Previously, it even exceeded $10k, although this was followed by a quick correction.

The increased future volumes, of course, do not signal that the BTC price itself will necessarily surge in the near future. However, as a positive indicator, such development is certainly not excluded. In any event, interest in futures is a bullish sign for the long-term, and it will be interesting to see what the rest of the year will bring, considering the current positive stance of investors and traders.