Quick setting:
- Open Interest on Ethereum Futures Just Set New All-Time High of $ 2.21 billion
- Ethereum has since passed the $ 700 cap and looks set to capture $ 750
- CME group to launch Ethereum futures in February and event could provide fuel for ETH rally
- Ethereum holding more than $ 700 at monthly and annual close will be critical for ETH as it tries to enter 4-digit territory
Open interest in Ethereum (ETH) futures has just set a new all-time high of $ 2.21 billion. This is according to data from the Bybt.com team who shared their observation via the following tweet.
#ETH The open interest of futures contracts exceeds ATH 2.21 billion. pic.twitter.com/trNy67C3fB
– Bybt (@bybt_com) December 28, 2020
Ethereum breaks $ 700, fixes its eyes on $ 750
The record open interest on Ethereum futures comes at a time when the value of ETH has passed the cap of $ 700. At the time of writing, Ethereum is trading at $ 738, which looks like an attempt to break the $ 750 resistance level previously identified by crypto analyst MagicPoopCannon.
Magic had forecast at the end of November that the price of Ethereum would rise rapidly to $ 750 and could rise to as high as $ 830. Additionally, Magic also pointed out that if Ethereum’s momentum is sustained, its price may very well test the all-time high of 2018 of $ 1,400 again.
CME Group to launch Ethereum Futures in February
Ethereum’s bullish rise may receive some help in the form of the CME Group launching Ethereum futures on February 8, 2021. Such an event will surely focus investor interest in Ethereum.
Going back in time, the CME group launched Bitcoin futures in 2017, which saw BTC hit a record high of $ 20,000 on December 17. Therefore, it is likely that Ethereum could attend a rally by February.
Ethereum’s fate lies in the monthly and annual close
However, Ethereum still has one hurdle to overcome in the form of the monthly and annual close on December 31st. If Ethereum can maintain a value above $ 700 at the end of 2020, its path to 4-digit territory could be smooth. Additionally, 2021 brings new expectations from crypto investors in the form of additional gains in the markets and in a world where there is a vaccine for the coronavirus.
