- Micro Ether futures will be launched by the CME Group in early December, subject regulatory permission.
- The new contract will be one-tenth of Ether in size.
- Since the debut of Ether futures in February, the exchange has seen continuous rise in liquidity, particularly among institutional investors.
After launching Micro Bitcoin futures in May, the Chicago Mercantile Exchange (CME) is anticipated to launch Micro Ether futures in early December. Micro Ether futures will be a tenth of an Ethereum currency in size.
Micro Ether futures to provide access to broader range of participants
The CME now offers a number of bitcoin derivatives, including 20 Micro products. The exchange launched Micro Bitcoin futures earlier this year in May, and 100,000 Micro BTC futures were traded in the first six days following launch.
CME’s Micro Bitcoin futures had traded 1 million contracts by the end of June. Micro BTC futures had 2.7 million contracts traded as of November.
The CME Group introduced Ether futures in February, and the firm has already observed a steady increase in liquidity, particularly among institutional traders.
A micro-sized contract, according to Tim McCourt, the exchange’s global head of stock index and alternative investment products, may make the market even more accessible to a wider spectrum of participants.
Based on the CME CF Ether-Dollar Reference Rate, the new contract will be cash-settled.
Ethereum pricing soared to a new all-time high above $4,600 shortly after the CME unveiled its next Micro futures product, which will be introduced on December 6 assuming regulatory approval.
Ethereum price eyes $5,300 next
The price of Ethereum continues to rise on positive momentum, reaching a new all-time high of $4,641. On the 4-hour chart, ETH has crossed the ascending parallel channel pattern’s topside trend line, implying that if buying pressure increases, it could be in for a 16 percent jump.
If Ethereum price can break over the top boundary of the current chart pattern, the next positive goal is $5,368, a gain of 16 percent.
Even if it fails to break above the aforementioned resistance trend line of the chart pattern, Ethereum price may continue to print new all-time highs as long as it continues within the ascending parallel channel, according to the governing technical pattern.
The first line of defence for Ethereum pricing is at $4,369, which coincides with the high of October 21 and the four-hour Simple Moving Average of October 21. (SMA). This level could provide solid support for ETH, but if selling pressure persists, the cryptocurrency could fall to the 50 four-hour SMA at $4,272 and then to the 100 four-hour SMA at $4,140.