ICE and CME Hit Oversold Levels as Perpetual Futures Threaten Traditional Exchange Business

According to BlockBeats, stocks of Intercontinental Exchange (ICE) and CME Group both hit oversold conditions this week, with both trading at an RSI of 24.4 (typically RSI below 30 signals potential near-term rebound). Investors sold off exchange operator shares amid concerns that perpetual futures and other new trading products could cannibalize traditional exchange revenues.

The selloff follows CME's lawsuit against the U.S. Commodity Futures Trading Commission over its May approval allowing prediction market platform Kalshi to offer Bitcoin perpetual futures. CME fell 10% this week and ICE declined over 7%, with both down double digits for June year-to-date.