Bitcoin continues to dominate Binance’s futures market, accounting for 27.17% of the platform’s total futures trading volume of $2.002 trillion in October.
This was a significant increase from September’s $1.95 trillion as institutional investors and speculators rekindled interest in the derivatives sector despite last week’s market pullback.
Bitcoin futures overheat
Specifically, Bitcoin futures trading volume surged to $543.33 billion in October, up from $418 billion in September and slightly above August’s $542 billion, according to CryptoQuant. Steady trading activity of over $2 trillion highlights an optimistic market environment characterized by solid liquidity and renewed confidence.
This consistent increase in trading volume often precedes an increase in price volatility, indicating the potential for increased volatility in the short term. If this momentum coincides with rising funding rates and expanding open interest, it could set the stage for a new bullish phase by deep-pocketed institutional investors and active speculators.
Taken together, these factors position Bitcoin to challenge and break through key resistance levels, further supporting the broader recovery seen across crypto markets recently.
According to crypto analyst Axel Adler Jr., Bitcoin’s current market dynamics appear to be in an accumulation phase in terms of its price trajectory. He noted that Bitcoin’s heat macro phase has turned into a trough/accumulation zone, which typically signals a waning of speculative pressure and the potential formation of a foundation for the next growth phase. Adler emphasized that for any meaningful rally to develop, volatility needs to stabilize and there needs to be at least a week of absence of external market shocks.
Meanwhile, researcher 0xNobler sparked speculation by reporting that an insider with a “100% win rate” had just opened a $150 million long position ahead of Donald Trump’s scheduled speech. This trader’s impeccable track record of predicting Bitcoin and Ethereum fluctuations may indicate insider knowledge and potentially calibrated expectations of the market.
Focus on CPI
The long-delayed US Consumer Price Index (CPI) data for September is scheduled to be released later today after a one-week delay. Economists expect consumer prices to rise for a second consecutive month due to higher prices for tariff-sensitive goods, while easing shelter prices could curb service inflation. Wells Fargo’s Sarah House said goods inflation is likely to remain high despite the cooling in some parts of the service sector.
Analysts at Bitfinex added that a core CPI above 3.2% y/y could push real yields higher and put pressure on Bitcoin, while a fall below 2.8% could increase risk appetite and benefit BTC.
