BTC has reached new heights. Can Ethereum futures save the encryption market?

Interpretation today

Yesterday, according to Coindesk, a senior official of the CFTC (American Commodity Futures Trading Commission) said that the CFTC is willing to approve the Ethereum futures contract, provided that the contract meets the relevant conditions.

After the news came out, the ETH price went all the way up and went straight to the high point a month ago. BTC broke through the previous high point today and touched 6000USDT.

Ethereum futures can't help but reminiscent of the situation when BTC futures were born.

For a long time, futures have been regarded as the first step in connecting the encrypted world with the traditional financial world. Futures operating within a clear legal framework guarantee the legitimacy and security of participating in crypto-equity investments. The existence of futures helps investment. The management of investment risks can attract institutional funds to enter the market and reduce the price fluctuations of the certificates.

At the end of 2017, CBOE and CME two well-known traditional exchanges have successively launched BTC futures. With the launch of BTC futures, BTC prices have also soared.

BTC futures for cash delivery eliminates the need for investors to contact the BTC itself, so there is no need to worry about the risk of theft. Of course, the impact of the futures market on BTC prices is relatively limited due to the absence of physical delivery. However, BBO futures of CBOE and CME did not attract large amounts of funds as expected, and BTC futures trading volume performed quite moderately. After 15 months of launching BTC futures, CBOE announced the suspension of the listing of new BTC futures in March this year.

There is a view that the introduction of BTC futures has made the bears have the tools to fight against bulls for the first time, thus driving the decline in the encryption market, but the relatively small size and cash delivery model of CBOE and CME BTC futures makes this theory difficult. Convincing.

CBOE and CME are not the only channels for investing in BTC futures. In addition to the futures contracts offered by crypto-exchanges, traditional financial institutions such as NASDAQ and Bakkt are actively preparing relevant trading platforms and products.

Unlike the BTC futures contract that has already been launched, CFTC has indicated that it is willing to approve the Ethereum futures contract, rather than the relevant futures products, and the previous CBOE and CME BTC futures have not been approved by the CFTC, but on the exchange. Under the "self-certification", the CFTC does not agree, but the exchange guarantees that it can launch new contracts without violating any rules. In contrast, the ETC-issued futures that have been approved by the CFTC are obviously more significant.

The introduction of cryptographic derivatives has made short-selling cryptographic assets a reality. Short selling is a key component of asset price discovery. Ethereum futures contracts help attract new funds to enter, and strong correlation between cryptographic assets leads to this for BTC and Other passes are also good.

Market research

Overall view

BTC today strongly challenged the 6000 mark and is currently temporarily falling back. The main circulation certificate or the stimulation of good news shows a general attitude.

The 6000 mark is the top of the BTC since November 2018, and the strong resistance is expected. Today, BTC challenged the 6000 mark, and then fell back. It is currently strong near the 5950. From the 4-hour BOLL line, BTC is strong on the upper rail, showing an open shape, and 5777 is a strong support for the middle rail. The MACD line is above the zero axis and has a weaker top divergence with a risk of callback. From the perspective of VOLUM, the multi-party power is relatively strong and the performance is strong. Based on the above indicators, considering the selling pressure near 6000, the sideways adjustment is optimistic, and the risk of callback is intensified if the attack is not repeated. The pressure is 6000 and the support is 5777.

ETH ushered in good news and performed well today. Basically interlocking BTC, pressure level 185, support level 165.

EOS is weak, and even if it is good, it will not be shocked. The pressure level is 5.1 and the support level is 4.8.

risk warning

The price of digital pass is fluctuating violently. Investment digital pass is a high-risk investment behavior. Investors should reasonably assess their investment ability and risk tolerance, use leverage carefully, strictly control risks, and invest carefully. Investors are advised to keep in mind that investments are risky and require caution when entering the market.


Personal opinions are for reference only. The analysis in the text does not constitute a recommendation for trading, and the profit and loss is self-sufficient. Welcome to reprint, but need to indicate the source.

Source: Coins