CME Group announced that its cryptocurrency futures and options products reached a record daily trading volume of 794,903 contracts on November 21, surpassing the previous high set in August this year. This surge highlights the growing demand for regulated crypto derivatives as market volatility intensifies.
Throughout 2025, trading activity in CME’s crypto products has continued to rise, with participation from both institutional investors and retail traders increasing. Giovanni Vicioso, CME’s Global Head of Cryptocurrency Products, noted that in an uncertain market environment, investors are accelerating their demand for "deep liquidity and regulated risk management tools."
Currently, CME’s crypto contracts primarily cover assets like Bitcoin and Ethereum, allowing traders to hedge against price swings or engage in leveraged speculation without holding the underlying assets. For instance, bearish Bitcoin expectations can be hedged by shorting Bitcoin futures.
According to CME, the average daily trading volume for crypto products this year has surged 132% year-over-year to 270,900 contracts, representing a notional value of $12 billion. Open interest also rose 82% to 299,700 contracts, with a notional value of $26.6 billion. In Q4 alone, average daily volume jumped 106% to 403,200 contracts, while open interest soared 117%, reaching a notional value of $35.4 billion.
As more investors seek regulated crypto exposure, CME has expanded its product lineup since launching Bitcoin futures in 2017, with demand becoming more pronounced during volatile cycles.
Meanwhile, Bitcoin rebounded slightly on Monday, climbing above $88,000, though its gains lagged behind the broader U.S. stock market rally. The cryptocurrency has yet to fully recover from last week’s sharp decline, which saw it briefly drop to a seven-month low of $80,554. Over the past four weeks, Bitcoin has lost over 20% of its value, with Monday’s recovery limited to under 2.5%. Other high-volatility tokens performed better, with XRP up 7% and Solana gaining 3%.
Market sentiment remains cautious despite rising institutional adoption and favorable policies from the Trump administration. While global tech stocks led gains on Monday amid growing expectations of a Fed rate cut in December, crypto assets continued to underperform.
Shiliang Tang, Managing Director at Monarq Asset Management, observed, "The lack of a broader altcoin rally, declining liquidity, and crypto’s persistent underperformance relative to equities make it increasingly difficult to deploy large capital in pure crypto markets."
In the options market, demand for downside protection has risen. Deribit data shows that $80,000-strike put options have surpassed $85,000 puts as the most popular contracts. Additionally, Bitcoin’s funding rate—a gauge of market sentiment—has turned negative, indicating stronger shorting demand in perpetual futures markets. This metric had remained positive even during previous steep declines, making the shift a potential bearish signal.
If the downtrend persists, November could mark Bitcoin’s worst monthly performance since the 2022 FTX collapse. Kaiko research analyst Adam McCarthy warned that Bitcoin’s ability to reclaim $100,000 by year-end largely hinges on a December rate cut, stating, "If the Fed pauses, Bitcoin may take longer to recover."
Despite the weekend rebound, Bitcoin remains about 30% below its all-time high last month. Open interest in perpetual contracts has also shown limited recovery, down roughly 36% from October’s peak of $94 billion.
Outflows from U.S.-listed Bitcoin ETFs, totaling over $3.5 billion, have further weighed on the market. These products, once a key driver of Bitcoin’s price, have yet to see significant capital inflows.
Deutsche Bank analysts noted that unlike past selloffs driven by retail sentiment, this year’s downturn reflects deeper institutional involvement, shifting policies, and macroeconomic pressures.
Blockchain analytics firm Glassnode reported that short-term holders (wallets holding coins for less than 155 days) are facing substantial losses, with daily realized losses hitting $630 million—the highest since the June 2022 crash.
Glassnode added that the market’s "supply concentration" between $106,000 and $118,000 is significantly denser than during the previous cycle’s peak, suggesting that "unless stronger demand absorbs selling pressure, the market may require a longer and deeper consolidation phase to rebalance."