The Solana Derivative Market (SUN) of the Chicago Mercantile Stock Exchange (CME) is giving positive signals to the assets.
In September, open interest increased significantly (OI). The amount on the futures contracts went from 8,000 million to $16,623 million.
This growth can be observed in the following graph: This shows the daily amount of Solana Contract (blue bar) along with the evolution of open interest (celestial bodies).
So, what does this mean? That’s the first thing to clarify CME is the leading regulatory market for digital active derivatives in the USa place run by institutional banks, banks and traders.
The fact that open interest is being replicated reflects a significant increase in participation by both institutional and retail investors, who are actively betting on the cryptocurrency futures market.
OI growth can be interpreted as an upward signal at the structural level, but not necessarily. This metric may not distinguish between long positions and short positions.
If leverage is dominant, it shows bullish expectations, but increases the risk of liquidation against falls. If you have many short positions, you can reflect risk coverage or bassist bets, as explained in Cryptopedia, the education section of encryption.
Rapid OI growth usually produces greater volatility as sudden movements can cause liquidation waterfalls.
However, it should be noted that the entry of regulated institutional capital not only allows prices to be maintained in the medium term, but also represents bullish factors at the structural level. It also increases the visibility of assets among traditional investors.
