Bitcoin Price Crossed $12K Mark as Market Turns Optimistic

Before today, on December 6, the bitcoin price attained a brand new all-time large at $12,278, over 24 hours because reaching it’s preceding all-time large at $12,000.

Bitcoin Price Crossed $12K Mark

Yesterday, on December 5, we reported that the price of Bitcoin surpassed the $12,000 mark before the launching of CBOE’s bitcoin futures launching. The marketplace has been tremendously optimistic in relation to CBOE and US-based bitcoin market Gemini’s record of bitcoin futures since CBOE is the largest options exchange in the entire world and its own list of bitcoin futures will result in a spike in liquidity of their cryptocurrency.

Why is Market So Optimistic About Bitcoin Futures?

As of current, higher profile investors, large-scale hedge funds, and institutional investors are restricted to three bitcoin investment tools: Sweden’s Nordic 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)-controlled bitcoin alternatives exchange.

The launch of 2 bitcoin futures markets by CBOE and CME by mid-December, two of the largest options exchange in the world financial market, will immediately offer institutional and retail investors with sufficient liquidity and robust infrastructure to invest in bitcoin.

Within an official company announcement, CBOE Global Markets chairman and CEO Ed Tilly revealed this to promote the use of an investment in bitcoin, CBOE’s bitcoin futures exchange will initially offer to trade for free.

“Given the unprecedented interest in bitcoin, it is vital we provide clients the trading tools to help them express their perspectives and hedge their exposure. We’re committed to encouraging liquidity and equity in the bitcoin marketplace. To promote this, we will initially provide XBT futures trading for free,” said Tilly.

Impact of Bitcoin Futures on Short and Mid-Term Price Trend of Bitcoin

Several reports on the last week out of mainstream media outlets and higher profile investors have promised that the price of bitcoin might be negatively affected by the launching of bitcoin futures, as it’s going to be significantly simpler to brief bitcoin too.

But if that’s true, the price of bitcoin wouldn’t have improved at an exponential rate over the last couple of weeks, exceeding the $12,000 mark.

While many specialists including $1.6 billion bitcoin and cryptocurrency broker Coinbase CEO Brian Armstrong mentioned, the launching of bitcoin stocks along with other institutional investor-targeted bitcoin trading platforms will allow over $10 billion in institutional money to flow in the bitcoin marketplace.

In case the price of bitcoin declines within the upcoming few days, it will probably be triggered by the rapid gain in the worth of bitcoin along with the insertion of this marketplace. Frequently, according to the operation of bitcoin dating back to 2014, the price of bitcoin will undergo a significant correction after attaining a new all-time large, and recover back to its preceding all-time large to initiate a fresh rally.

In the short term, the price of bitcoin will probably increase, particularly upon the December 10 and December 18 bitcoin stocks launches by CBOE and CME.

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