Daily BTC Options

Crypto derivative exchange Deribit's latest offering could become a big hit with day traders

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Sponsored by   January 31, 2020 The Netherland-based Deribit exchange will begin offering daily Bitcoin index options to clients starting Feb. 3.  The options will be listed every day at 8 a.m. universal coordinated time and will expire after two days. The strike price intervals will be $125 and will offer a range of around 5 percent around the ATM (at-the-money) level. The daily options contract adds to Deribit's existing roster of futures and monthly options contracts on bitcoin. The trading platform went live in June 2016 - more than a year before the Chicago-based commodities exchange CME listed bitcoin futures. Since then, competition has heated up, with both the CME and the Intercontinental Exchange's Bakkt division recently introducing options trading on the cryptocurrency.  Deribit still has a wide lead in options trading. Its contracts accounted for nearly 90 percent – approximately $50 million worth – of the total options volume traded on Tuesday, based on date from the analytics firm Skew. In comparison, regulated platform Bakkt made no trades and CME option contracts made up approximately 2 percent of the trading volume. The latest offering could help Deribit retain market share. The short dated expiries would mainly draw volumes from investors and traders with a short term view based on for example macroeconomic data or events.  SPONSOR SECTION Nexo is the world’s leading crypto banking institution. With $1B processed, the company aims to maximize the value of digital assets by offering tax-efficient ‘Instant Crypto Credit Lines,’ high-yield ‘Earn Interest’ products and ‘Send & Pay’ features to our 500K+ users across 200 jurisdictions. Learn More   Off Three-Month Highs BTC: Price: $9,300 | Market cap: $169 billion | 24-Hr Volume: $33 billion Trend: Bullish Bitcoin defended the former resistance-turned-support at $9,188 on Thursday with a bullish engulfing candle, solidifying the preceding day’s breakout above that level and signaling a continuation of the rally from $8,213 (Jan. 24 low). So far on Friday, though, the follow-through has been dismal. The cryptocurrency has backed off from three-month highs near $9,570 reached Thursday.  For now, the pullback looks to have stalled near $9,250. The former resistance-turned-support at $9,188 is still intact and the cryptocurrency could have another go at $9,600. A move through that level would expose $10,000. If prices find acceptance under $9,188, the immediate bull case would be invalidated and sellers may push the cryptocurrency down its 200-day average at $8,883. Read Analysis In this feature of the Markets Daily newsletter, we aggregate news, reports, ideas and tweets relevant to crypto traders and investors. Bitfinex Adds Margin Trading on Tether Gold With Pairs of Up to 5x Leverage (CoinDesk) Bitfinex, the world’s seventh-largest bitcoin exchange by trading volume, has launched margin trading for Tether Gold.   Exchange Tokens: Neither a Great Investment Nor a Great Market Indicator (CoinDesk) They're not equity, but could "exchange tokens" be bellwethers for one of crypto's best use cases?    Bitcoin Arbitrage Is Driving Demand for Cash, Crypto Lender Says (Bloomberg) Cash was king among hedge funds and miners looking to take advantage of arbitrage opportunities and add leverage during the fourth-quarter downturn in cryptocurrency prices. 7 times Andrew Yang has spoken about Bitcoin​​​​​​​ (Decrypt) Presidential candidate Andrew Yang has advised an overhaul in crypto regulation. Here are 7 times Yang has spoken about crypto. Disclaimer: The information presented in this message is intended as a news item that provides a brief summary of various events and developments that affect, or that might in the future affect, the value of one or more of the cryptocurrencies described above. The information contained in this message, and any information liked through the items contained herein, is not intended to provide sufficient information to form the basis for an investment decision. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments. Copyright © 2018 CoinDesk, All rights reserved.  Our mailing address is:  250 Park Avenue South New York, NY, 10003, US  Want to change how you receive these emails? You can update your preferences or unsubscribe from this list