Investor’s responsibilities about Bitcoin are rising, driving the price of the world’s largest cryptocurrency by market cap down in 2019. This declining enthusiasm comes as Bakkt, the highly anticipated Bitcoin futures trading platform created by Intercontinental Exchange Inc. (ICE), has shifted out to be disappointingly small after launching two weeks ago, as outlined by the The Wall Street Journal.
Bitcoin Price Plunges
Bitcoin’s premium has fallen about 19% since Bakkt’s launch, a futures platform that allows traders to bet on whether the market-place will go up or down. The popular digital currency has fallen a steep 41% from a high of $13,879 per coin reached in June. For most of the recent few years, as Bitcoin has been on a rollercoaster, including record highs at the end of 2017, and a “crypto winter” in 2018, bulls obtain been banking on its infiltration into the mainstream financial markets.
Yet on Friday, just 49 contracts were careered, with 865 contracts traded in the previous nine sessions, according to Bakkt.
Digital Currency Headwinds
Crypto aficionados hoped new products like Bitcoin futures would continue to draw institutional funds from investors try out alternative investments. However, it turns out that investors at large remain wary of headwinds including extreme
What’s Next?
While Bitcoin certainly has its chinks, market watcher Matt Huogan, head of research at Bitwise Asset Management, notes that some matters just take time. “Things don’t explode out of the gate,” he said. “They take days, weeks, months and at times years.” As the SEC is slated to rule on two more applications for Bitcoin-based ETFs, if approved, Hougan says investors should await the take off to be equally slow.
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