August 8, 2024

Where to Find Binance Open Interest Data for Enterprises

Open interest measures the flow of money into futures, options, or swap markets. More importantly, open interest data can be used to gauge market activity, liquidity, and interest in the overall market or for a particular instrument to predict price movements and inform trading and investing decisions.

Current derivatives and trading platforms/exchanges already provide users access to open interest data, however, these solutions aren’t built for enterprise-level use cases. But with crypto options data providers like Amberdata, users gain access to comprehensive open interest data for all major exchanges, including Binance.

Amberdata’s Rich Crypto Options OI Data

Amberdata offers the following crypto options open interest (OI) datasets and endpoints:

OI Global: The OI Global dataset captures the total open interest across all contracts in the derivatives market, providing a broad view of activity and liquidity levels in the market.
OI Volume + Change: This endpoint covers Open Interest, Volume, and Turnover metrics for various instruments in cryptocurrency derivatives trading. Volume measures the total number of contracts traded within a specified time frame while turnover measures the total value of contracts transacted.
OI Notional: This OI Notional endpoint provides historical data on open interest and notional volume for put and call options.
OI Gamma + Trades: This dataset provides a historical view of the gamma levels for different options and their daily trading activity on Deribit.
OI Bid-Ask: This dataset consists of the BidAsk Spread Geography and BidAsk Spread endpoints. They provide a deeper look into the spread between the highest bid price for an asset and the lowest ask price, offering insights into liquidity and the potential cost of trading a given instrument.

Together, these datasets can enhance trading strategies by providing broader insights into market activity, overall stakeholder interests, liquidity, market trends, and trading risks.

Types of OI Data for Binance Open Interest API

To date, Binance remains the largest derivatives trading exchange by almost every measure. For organizations involved in derivatives on multiple exchanges, Amberdata offers a Binance Open Interest API as part of our aggregated crypto data API

Analyzing Open Interest Data

Comparing Open Interest with Volume

Open interest and trading volume complement each other to provide a complete view of market sentiment and price action. By monitoring both metrics, you can assess a market’s strength and identify potential trends. For example, rising volume and open interest might signal a strong market trend, while falling volume and open interest may indicate a weakening trend or potential reversal.

Monitoring Changes in Open Interest

Tracking historical and real-time changes in open interest is important for several reasons. The primary reason is that open interests present in-depth insights into market interest for gauging market sentiment, liquidity, trend strength, and trend reversals.

For traders, studying open interest data is crucial for making informed investment decisions. For managers in trading firms, these analytics can help you assess the potential benefits of adding crypto options to your company’s portfolio. For instance, significantly high OI in call options at a specific strike price may be indicative of a large number of traders expecting the asset’s value to reach that level.

Analyzing Open Interest Patterns

By monitoring changes in open interest data, you can find patterns and trends that help to inform your trading strategies. Just as a high OI in a call option suggests a bullish trend, so does a high OI in a put option suggest a bearish trend. Traders can use options analytics data to capitalize on the market by holding or selling in a bullish or bearish market.

Inform Trading Decisions With a Binance OI API

Sourcing reliable OI data is crucial for success in institutional trading environments. However, finding a vendor to deliver crypto options data can prove difficult as most solutions aren’t suited for enterprise clients. This is where Amberdata comes in.

Our open interest API endpoints provide comprehensive, granular crypto options OI data. Additionally, we offer OI APIs for Binance, the largest and most popular derivatives trading exchange. Using these datasets, you can monitor historical and real-time changes in open interest and identify patterns that can inform your decision-making.

In the meantime, explore more of our content about crypto options including our Bitcoin's Next Frontier: Institutional Demand in the World of Options and Futures Trading report.