Crypto Majors and It rose on Tuesday as markets began to consolidate following Monday’s recovery.
Bitcoin is trading at $112,900, while ether is at $4,150, adding 0.78% and 1.1% in the last 24 hours, respectively.
Much of Tuesday’s activity comes from altcoin spheres, with newly decentralized decentralized exchange asters earning daily trading volumes of $64 billion each day as traders rush to use a platform that offers up to 300 times leverage.
Positioning of derivatives
Jacob Joseph
- The market shows signs of a potential shift towards bullish bias as derivative metrics with open interest and foundations show pickup.
- Overall open interest on BTC futures has increased from $29 billion a month to about $31 billion. The increase shows renewed interest from traders, with Binance still leading at $12.7 billion.
- The three-month annual base has also recovered, rising from about 6% to 7%, making the base trading more profitable.
- The BTC options market still presents a complex and somewhat contradictory image.
- While 25 deltas continue to distort short-term options, suggesting traders pay a premium to puts and show their desire for negative side protection, the 24-hour put call volume tells a different story.
- In a clear reversal from recent trends, call dominates the volume, accounting for 65% of contracts traded. This rapid increase shows that a considerable number of traders are actively positioned for short-term meetings despite the clever sentiment being reflected in ske.
- This divergence highlights a highly polarized market where a combination of hedging strategies and speculative betting creates a state of mixed emotion.
- Funding rates at major venues such as Binance and OKX were positive, rising to around 7% and 10% respectively. This shows the growing appetite for leveraged long positions where long traders are currently paying for shorts, a classic sign of positive market sentiment.
- High lipid funding rates remain volatile, but the main exchange trend suggests that traders will once again be confident and willing to take on bullish exposure
- Coinglass data shows a $316 million liquidation in a 24-hour liquidation, with 44-56 splits between the long and shorts. ETH ($73 million), BTC ($70 million), and others ($29 million) were leaders in terms of anticipated liquidation. Binance Squiration Heatmap shows $115,000 as the core liquidation level to monitor in the event of price increases.
Token talk
Oliver Night
- The fight to exchange derivatives between aster and high lipids is heated.
- Daily trading volumes for BNB chain-based Aster have skyrocketed to $64 billion, with Hyperliquid’s $7.6 billion war farming, Defillama data shows.
- According to Boltliquidity Core contributor Max Arch, the shift is due to Aster providing 100 to 300 times leverage. Hyperliquid’s market is primarily limited to 40 times.
- “Regardless of the quality of the underlying platform, traders track leverage, but see how higher leverage caps affect Aster’s long-term platform,” writes Arch in X.
- Arches note that about 6% of Aster’s trading volume can be attributed to washing transactions.
- The exchange’s native tokens, asters and hype have been slowing down over the past week. The former slides from $2.39 on September 25th to $1.80, with the hype dropping from $58.92 to $44.32 from the September 18th high.
- According to CoinmarketCap data, bearish token performance compared to trading activity could be attributed to the broader Altcoin sale, which led to a $200 billion removal from its market capitalization last week.