Bitcoin and Ethereum futures are re-exerting dominance over spot markets
Bitcoin EthereumAng Bitcoin at Ethereum futures ay muling nagsusumikap sa mga spot market08 / 22 / 2022Balita ng Ethereum ng Bitcoin An analysis of Bitcoin and Ethereum futures volume showed that both had re-established themselves over spot volume. In spot markets, traders can buy and sell tokens for immediate delivery. Spot volume refers to the total amount of coins transferred on-chain with only successful transfers counted. By contrast, futures traders buy and sell derivatives contracts representing the value of a specific cryptocurrency. Experienced traders prefer futures trading as profits can be made in either market direction. As experienced traders use leverage and are generally better capitalized than retail spot traders, under “normal” conditions, futures markets tend to turn over more volume relative to spot markets. Ethereum spot and futures markets The chart below shows the general trend being Ethereum spot volume lagging behind the futures market. However, spot markets were particularly prevalent at the end of 2021 going into the new year. From late June 2022 onwards, the disparity between futures and spot is becoming increasingly prevalent. Analysts wager this is due to mounting speculation over the Merge, in which Ethereums existing execution layer will integrate with its Proof-of-Stake (PoS) consensus layer. ETH Futures Volume vs. Transfer Volume