How to hedge Ethereum
ETH is Ethereum token.
As ETH is a volatile asset, in certain instances it will require hedging.The best method of hedging ETH is to use crypto derivatives.
There are multiple of the exchanges serving futures and perpetual swaps.
Choose from the list of hedging options
- Ethereum Futures
- Ethereum Perpetual Swaps
- Future Contracts on Indexes with Ethereum embeded
- Perpetual Swaps on Indexes with Ethereum component
- Other crypto related Indexes (Perpetual Swaps)
- Negative correlation with Ethereum
Ethereum Futures
When required to hedge the position for the mid-term period (weeks to months) you can use futures.
| Exchange | Symbol | Premium (-) Discount (+) |
Spread | Open Intrest | 24h Volume | Expiry Date |
|---|---|---|---|---|---|---|
| Huobi Futures | ETH_CQ | -2.733 | 0.12 | 164,087,130 | 1,715,841,403 | 26/3/2021 |
| OKEx (Futures) | ETH-USD-210326 | -2.800 | 0.10 | 188,762,350 | 1,063,256,403 | 26/3/2021 |
| OKEx (Futures) | ETH-USDT-210326 | -2.832 | 0.15 | 3,345,840 | 380,524,158 | 26/3/2021 |
| Binance (Futures) | ETHUSD_210326 | -2.661 | 0.11 | 65,649,900 | 373,196,663 | 26/3/2021 |
| OKEx (Futures) | ETH-USD-210625 | -5.367 | 0.19 | 87,932,120 | 280,434,352 | 25/6/2021 |
| OKEx (Futures) | ETH-USD-210129 | -0.330 | 0.12 | 23,340,240 | 255,974,238 | 29/1/2021 |
| OKEx (Futures) | ETH-USDT-210625 | -4.644 | 0.16 | 1,524,610 | 252,296,364 | 25/6/2021 |
| OKEx (Futures) | ETH-USD-210205 | -0.728 | 0.11 | 3,087,970 | 242,646,965 | 5/2/2021 |
| Binance (Futures) | ETHUSD_210625 | -5.411 | 0.14 | 52,180,060 | 168,654,358 | 25/6/2021 |
| Huobi Futures | ETH_NQ | -5.455 | 0.16 | 66,566,790 | 167,683,353 | 25/6/2021 |
| Huobi Futures | ETH_CW | -0.239 | 0.16 | 15,179,930 | 143,028,310 | 29/1/2021 |
| OKEx (Futures) | ETH-USDT-210129 | -0.363 | 0.13 | 512,460 | 127,220,951 | 29/1/2021 |
| OKEx (Futures) | ETH-USDT-210205 | -0.787 | 0.19 | 321,040 | 118,916,184 | 5/2/2021 |
| Huobi Futures | ETH_NW | -0.550 | 0.15 | 15,252,450 | 107,679,065 | 29/1/2021 |
| Huobi Futures | ETH_NW | -0.574 | 0.12 | 6,481,460 | 86,051,117 | 5/2/2021 |
| Huobi Futures | ETH_NQ | -2.280 | 0.11 | 44,885,370 | 75,386,941 | 26/3/2021 |
| FTX (Derivatives) | ETH-0326 | -2.754 | 0.12 | 81,518,761 | 65,009,708 | 26/3/2021 |
| Deribit | ETH-26MAR21 | -2.399 | 0.19 | 34,965,123 | 33,422,589 | 26/3/2021 |
| FTX (Derivatives) | ETH-0625 | -5.318 | 0.11 | 27,400,331 | 9,950,833 | 25/6/2021 |
| Deribit | ETH-25JUN21 | -5.006 | 0.26 | 20,176,983 | 6,822,956 | 25/6/2021 |
| Kraken (Futures) | FI_ETHUSD_210326 | 0.034 | 0.17 | 0 | 6,249,248 | 26/3/2021 |
| Deribit | ETH-24SEP21 | -7.460 | 0.16 | 15,111,150 | 4,663,278 | 24/9/2021 |
| FTX (Derivatives) | ETH-1231 | -11.473 | 0.46 | 9,428,881 | 4,540,502 | 31/12/2021 |
| FTX (Derivatives) | ETH-0924 | -7.301 | 0.39 | 2,637,976 | 579,363 | 24/9/2021 |
Ethereum Perpetual Swaps
Short position for indefinite time is also possible by using perpetual.
Moreover you can earn swaps in particular cases.
| Exchange | Symbol | Premium (-) Discount (+) |
Spread | Funding Rate | Open Intrest | 24h Volume |
|---|---|---|---|---|---|---|
| CoinTiger (Futures) | ETHUSDT | -0.151 | 0.10 | 0.01518 | 509,846,061 | 678,385,024 |
| Binance (Futures) | ETHUSDT | -0.193 | 0.10 | 0.01481 | 504,095,729 | 6,829,673,365 |
| FTX (Derivatives) | ETH-PERP | -0.083 | 0.13 | 0.05280 | 327,539,655 | 1,820,362,613 |
| Bybit | ETHUSD | -0.014 | 0.10 | 0.01000 | 310,703,454 | 1,913,042,447 |
| Bitfinex (Futures) | ETHF0:USTF0 | -0.013 | 0.13 | -0.00084 | 246,189,079 | 37,166,602 |
| Bitfinex (Futures) | TETHF0:USTF0 | 0.808 | 0.21 | -0.25000 | 217,744,062 | 18,656,998 |
| ZBG Futures | ETH_USDT | -0.110 | 0.11 | 0.01005 | 201,224,184 | 2,238,512 |
| MXC (Futures) | ETH_USDT | -0.021 | 0.14 | 0.00700 | 179,639,569 | 281,732,693 |
| Huobi Futures | ETH-USD | 0.000 | 0.10 | 0.01000 | 162,782,210 | 2,414,125,100 |
| BitZ (Futures) | ETH_USDT | -0.051 | 0.11 | 0.00000 | 159,189,387 | 474,593,496 |
| Binance (Futures) | ETHUSD_PERP | -0.086 | 0.10 | 0.01000 | 146,856,010 | 1,931,152,022 |
| Hopex | ETHUSDT | 0.012 | 0.00 | 0.00000 | 123,896,423 | 1,474,307,600 |
| BitMEX | ETHUSD | -0.376 | 0.10 | 0.04890 | 116,872,835 | 669,522,423 |
| Bitget Futures | CMT_ETHUSDT | 0.035 | 0.12 | -0.00066 | 99,803,391 | 377,557,450 |
| BitZ (Futures) | 102 | 0.039 | 0.12 | 0.00000 | 94,644,211 | 283,991,832 |
| MyCoinStory | ETHUSDT_QUANTO_PERP | -0.320 | 0.00 | 0.06675 | 90,988,331 | 1,079,882 |
| Deribit | ETH-PERPETUAL | -0.079 | 0.10 | 0.00080 | 86,891,542 | 451,183,476 |
| OKEx (Futures) | ETH-USD-SWAP | -0.127 | 0.10 | -0.00196 | 70,931,400 | 837,599,093 |
| Bitforex (Futures) | SWAP-USD-ETH | -0.074 | 0.10 | 0.00200 | 62,956,893 | 1,925,811,123 |
| Kraken (Futures) | PI_ETHUSD | -0.036 | 0.18 | -0.03243 | 57,160,721 | 213,644,858 |
| Bybit | ETHUSDT | -0.214 | 0.10 | 0.01000 | 46,854,077 | 247,358,289 |
| Prime XBT | ETH/USD | 0.000 | 0.18 | 0.00000 | 23,278,910 | 177,004,920 |
| Phemex (Futures) | ETHUSD | -0.103 | 0.13 | 0.01000 | 18,567,068 | 30,835,876 |
| BTSE (Futures) | ETHPFC | -1.306 | 0.49 | 0.00000 | 11,560,707 | 39,992,336 |
| Prime XBT | ETH/BTC | 0.000 | 0.27 | 0.00000 | 7,218,520 | 8,806,772 |
| Phemex | ETHUSD | -0.173 | 0.11 | 0.07048 | 6,296,398 | 27,182,027 |
| Bitget Futures | ETHUSD | -0.047 | 0.10 | 0.00144 | 5,294,350 | 18,049,075 |
| BitZ (Futures) | 2 | 0.002 | 0.11 | 0.00000 | 2,457,740 | 37,688,760 |
| Gate.io (Futures) | ETH_USD | -0.389 | 0.00 | 0.06940 | 2,417,099 | 9,532,768 |
| C-Trade | ETHUSD | -0.287 | 0.11 | 0.05736 | 2,011,091 | 500,373 |
| BitZ (Futures) | ETH_USD | -0.049 | 1.04 | 0.00000 | 1,880,938 | 33,648,608 |
| BitZ (Futures) | 202 | 0.056 | 0.14 | 0.00000 | 947,450 | 151,945,180 |
| CoinFLEX (Futures) | ETH-USD-SWAP-LIN | -3.831 | 0.17 | 0.00000 | 914,886 | 2,459,971 |
| Huobi Futures | ETH-USDT | -0.017 | 0.10 | 0.01000 | 833,704 | 3,255,703,337 |
| BigONE Futures | ETHUSD | -0.089 | 0.15 | 0.01000 | 746,661 | 72,959,265 |
| Hopex | ETHUSD | 0.002 | 0.00 | 0.00000 | 709,930 | 83,991 |
| ACDX Futures | ETH-PERP | -0.106 | 0.15 | 0.00000 | 659,015 | 32,513,840 |
| Poloniex Futures | ETHUSDTPERP | -0.230 | 0.15 | 0.00000 | 382,521 | 3,843,315 |
| BigONE Futures | ETHUSDT | -0.100 | 0.18 | 0.03260 | 370,830 | 755,537,357 |
| AAX Futures | ETHUSDFP | -0.375 | 0.27 | 0.02736 | 367,767 | 14,236,432 |
| BitZ (Futures) | ETH_USDT_BZ | -0.164 | 0.10 | 0.00000 | 333,459 | 56,603,898 |
| DueDEX | ETHUSDT | -0.084 | 0.00 | 0.01000 | 303,193 | 410,979,797 |
| BaseFEX | ETHUSDT | 0.193 | 0.11 | 0.01000 | 293,344 | 2,867,590 |
| AAX Futures | ETHUSDTFP | -0.148 | 0.19 | -0.04128 | 202,578 | 952,857 |
| BaseFEX | ETHXBT | -1.643 | 3.08 | 0.01000 | 80,183 | 789,729 |
| Biki (Futures) | 4 | -0.058 | 0.13 | 0.05091 | 0 | 5,571,329,082 |
| OKEx (Futures) | ETH-USDT-SWAP | -0.082 | 0.10 | 0.03954 | 0 | 947,446,546 |
| Bitget Futures | CMT_ETHSUSDT | 0.022 | 0.11 | 0.01554 | 0 | 327,673,863 |
| Gate.io (Futures) | ETH_USDT | -0.298 | 0.00 | 0.03340 | 0 | 113,266,533 |
| ZBG Futures | ETH_USD-R | -0.475 | 0.10 | 0.04932 | 0 | 28,334,332 |
| Bibox (Futures) | 4ETH_USDT | 0.000 | 0.17 | 0.00000 | 0 | 14,711,034 |
| HBTC (Futures) | ETH-SWAP | -0.035 | 0.17 | 0.00947 | 0 | 12,837,221 |
| GMO Japan (Futures) | ETH_JPY | 0.000 | 0.86 | 0.00000 | 0 | 11,881,014 |
| HBTC (Futures) | ETH-SWAP-USDT | -0.021 | 0.17 | 0.00940 | 0 | 9,431,113 |
| Stormgain Futures | ETH-PERPUSDT | 0.000 | 0.17 | 0.00400 | 0 | 4,405,739 |
| ZBG Futures | ETH_USD-R20190927 | 0.000 | 0.19 | 0.00000 | 0 | 2,922,578 |
| BHEX (Futures) | ETH-SWAP | 0.003 | 0.20 | 0.00331 | 0 | 1,390,009 |
| Delta Exchange | ETHUSDT | -0.266 | 0.10 | 0.01000 | 0 | 1,380,128 |
| Delta Exchange | ETHBTC | -0.037 | 0.10 | 0.01000 | 0 | 1,119,329 |
| Bitfinex (Futures) | TETHF0:BTCF0 | 0.559 | 0.11 | -0.25000 | 0 | 779,083 |
| Bitfinex (Futures) | ETHF0:BTCF0 | -0.400 | 0.15 | -0.09274 | 0 | 493,961 |
| MCDEX | RQBAP | 0.112 | 0.18 | 0.03741 | 0 | 449,127 |
| MXC (Futures) | ETH_USD | 0.049 | 0.10 | -0.02000 | 0 | 271,648 |
| Binance JEX (Futures) | ETHUSDT | -2.975 | 0.62 | 0.01000 | 0 | 36,626 |
| MCDEX | ETH-PERP | -0.594 | 0.66 | -0.20350 | 0 | 28,601 |
| Biki (Futures) | 5 | -0.042 | 0.15 | 0.00809 | 0 | 199 |
Future Contracts on Indexes with Ethereum embeded
Another way of hedging positions for the mid-term is using future contracts on indexes with the asset price as a component of the the index.
| Exchange | Symbol | Premium (-) Discount (+) |
Spread | Open Intrest | 24h Volume | Expiry Date |
|---|---|---|---|---|---|---|
| FTX (Derivatives) | ALT-0326 | -0.064 | 0.35 | 1,849,674 | 1,930,241 | 26/3/2021 |
| BTSE (Futures) | BBAXH21 | -0.469 | 0.28 | 31,939 | 34,776 | 26/3/2021 |
| BTSE (Futures) | BBAXF21 | -0.637 | 0.60 | 33,259 | 22,263 | 29/1/2021 |
| BTSE (Futures) | BBCXF21 | -1.650 | 1.25 | 198 | 19,932 | 29/1/2021 |
| BTSE (Futures) | BBCXH21 | -0.843 | 1.24 | 691 | 18,988 | 26/3/2021 |
Perpetual Swaps on Indexes with Ethereum component
Sometime the best option to hedge Ethereum is to short with perpetual contract idefinitely.
Earning swaps can be in some cases crucial for the positioning.
| Exchange | Symbol | Premium (-) Discount (+) |
Spread | Funding Rate | Open Intrest | 24h Volume |
|---|---|---|---|---|---|---|
| FTX (Derivatives) | ALT-PERP | 0.078 | 0.20 | 0.01680 | 12,466,384 | 13,187,241 |
| Gate.io (Futures) | ALT_USDT | -3.246 | 0.00 | 0.01000 | 2 | 1,634 |
Other crypto related Indexes (Perpetual Swaps)
There are several specyfic cryptocurrencies market Indexes which can be considered as a hedge
for the trading positions. As Bitcoin take the lion's share of the whole market capitalisation,
BTC dominance is one of the most notable.
Even more than on other markets, Bitcoin volatility influences almost all the trading pairs
traded with both BTC and altcoins at the same moment.
| Exchange | Symbol | Premium (-) Discount (+) |
Spread | Funding Rate | Open Intrest | 24h Volume |
|---|---|---|---|---|---|---|
| Bitfinex (Futures) | BTCDOMF0:USTF0 | -0.007 | 0.12 | 0.00000 | 180,766 | 2,748 |
| Bitfinex (Futures) | TBTCDOMF0:USTF0 | 0.060 | 0.17 | -0.11774 | 163,844 | 109,181 |
| BTSE (Futures) | BDIPFC | 0.142 | 0.85 | 0.00000 | 7,095 | 66,145 |
Negative correlation with Ethereum
Check correlations with Ethereum or use a custom form to check ETH changes in correlation coefficient with other token.
Stable coins or non-crypto assets can also be considered for hedging positions.