LMAX Digital volumes got off to a healthy start this week. Total notional volume for Monday came in at $401 million, 18% above 30-day average volume.

Bitcoin volume printed $253 million on Monday, 37% above 30-day average volume. Ether volume came in at $78 million, 26% below 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $9,220 and average position size for ether at $4,636.

Market volatility is finally showing signs of bottoming out after trending lower since March. We’re looking at average daily ranges in bitcoin and ether of $2,399 and $139 respectively.

Much of the focus for Tuesday will be around the ETH ETFs finally going live. The event has been highly anticipated by the market, which has allowed plenty of time for market participants to take it all in.

Having said that, there is plenty of evidence to suggest that any selling of the fact will be quickly absorbed ahead of the next big push to the topside.

For one, we believe the distraction in recent weeks around all of the selling associated with Mt. Gox, Germany, and the US, has been a distraction which has prevented ETH from benefiting as much as it might have in the absence of this news.

We’re also seeing plenty of demand as reflected in the options market. As per one major firm, short-duration and long-duration call options are trading at a premium to puts, which reflects an expectation for a higher ETH price in the days and weeks ahead.

Another positive for ETH comes from overall expectations heading into the ETF launches. Expectations for inflows have been rather mild, with many calls leaning to the thinner side. This leaves room for these expectations to be easily exceeded, which should invite plenty of added demand when they are.

Finally, the technical picture is supportive as well. As per today’s chart update, ETH has been in a bullish consolidation and should be looking to soon break back above the yearly high, which would then open a direct retest and break of the record high from 2021 at $4,870.

As a reminder, ETH is well correlated with bitcoin, and we believe bitcoin’s break to a fresh record high earlier this year, already set the stage for a fresh ETH record high before the end of 2024.