In yet another record setting move, bitcoin price has surpassed $13,000 mark thanks to market optimism and continues to rise with some analysts believe that the cryptocurrency will continue its price surge.
As of this writing bitcoin is trading at $13,002 with a near 10 per cent increase over yesterday when it was trading at $12,200. Yesterday’s price surge was seen as a direct link to optimism surrounding the launch of bitcoin futures CBOE. There aren’t many options for high profile investors to invest in bitcoin except three bitcoin investment instruments: Sweden’s Nordiq Nasdaq-listed bitcoin exchange-traded fund (ETN) XBT Provider, Grayscale Investment’s Bitcoin Investment Fund (GBTC), and LedgerX’s US Commodities and Futures Trading Commission (CFTC)-regulated bitcoin options exchange.
With the launch of two bitcoin futures exchanges by CBOE and CME by mid-December, high profile investors as well as retail investors will immediately be able to invest in bitcoin. As a launch offer, CBOE’s bitcoin futures exchange will initially offer trading for free.
While market optimism surrounding bitcoin futures is high, analysts believe that the price of bitcoin could be negatively impacted by the launch of bitcoin futures. But that isn’t the case as is seen from the recent rally that pushed price of bitcoin to over $13,000.
Bitcoin futures will see money in tune of $10 billion being pumped into the bitcoin market and that’s something that is acting as a spark for the current surge. If the price of bitcoin declines in the next few days, it will likely be triggered by the rapid increase in the value of bitcoin and the stabilization of the market. Often, as demonstrated by the performance of bitcoin dating back to 2014, the price of bitcoin tends to experience a major correction after achieving a new all-time high, and recover back to its previous all-time high to initiate a new rally.
In the short-term, the price of bitcoin will likely increase, especially upon the December 10 and December 18 bitcoin futures launches by CBOE and CME.