The news that regulators have finally approved the launch of Bakkt platform to trade fiusername on Bitcoin physical delivery of the asset is generally perceived in cryptosuite with great optimism. However, not all consider this event to be the best thing that could happen to Bitcoin and alternative cryptocurrencies. Understand the problem.
Why Bakkt react so positively?
We will remind, yesterday we wrotethat the Commission on trade commodity futures (CFTC) and the Department of financial services of the state of new York finally approved a Bitcoin futures. And it is in the form in which they offers the largest network of exchanges Intercontinental Exchange on its platform under the name Bakkt. Official launch trading in futures contracts is scheduled for September 23. If you are interested to learn more about the work of the financial instrument, we have a detailed article about it.
Of course, the startup will open the door to scriptural for institutional investors, that is, for serious players of traditional financial sector. It also has a positive impact on the process of bringing kriptonyte in the legal field, at least initially, in the U.S., after all, investors want certainty and clear regulation. And as already mentioned, the concept of futures with physical delivery BTC is quite able to initiate the process of mass adoption of cryptocurrency.
However, on Twitter today has been somewhat the opposite trend. The cryptanalyst and the trader under the name CryptoChartsJoe suggestedthat until the launch of the platform market will go up. But immediately after launch we should expect major dump in cryptocotyle this word is usually denoted by a strong collapse of CryptoRandom.
After all, wall street does best breaking hearts and stealing souls.
In fact the participation of wall street in kriptonyte often greeted without much enthusiasm. As shown by the situation on the futures markets CME, the ability to “short sell” an asset inevitably leads to market manipulation. The term “short” also known as “shorting”. This is when a seller makes a bid to lower the price of the asset in the future, although in fact does not even speak to them by right. Many retail traders do not like these machinations and therefore worried that such an outcome is probable and the products Bakkt. That is, they are waiting for a serious manipulation of market by big players, after running the tool.
Short-term price fluctuations of Bitcoin
Known in the community for a cryptanalyst under the name Welson Trader that is very active in the industry with far 2011, I tried to paint the possible consequences for the price of Bitcoin. Here is a chart from his tweet. According to the analyst, we will flounder in this area of the wedge until the launch of the platform on 23 September, after which electricity leaks local lower limit of the price of BTC.
In General it is quite interesting that after a sharp rebound after the news about the launch date of Bakkt the price of Bitcoin gradually slightly went внизt. Last week the market was feverish and largest cryptocurrency almost managed to recover from a pretty significant pullback. However, at the level of the current price of Bitcoin there is a strong resistance.
Topic: Three reasons why Bitcoin still not grown to 13 thousand dollars.
And the current situation on the market once again indicates that Bakkt not so strongly affects the price of BTC. This is undeniably good news, but the reality is that the market, not everyone shares this joy.
How do you think, can Bakkt significantly affect the development of Scripturally? And why, in your opinion, the market reacted to the news about the official launch of the platform on 23 September? Tell us in our cryptodata millionaires.
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