The CME Bitcoin options market has sparked great anticipation of its official launch scheduled for January 13. The market, offering a more derivative approach to BTC price action, is expanding products available for mainstream investment.
Adoption May Still Take a While
JP Morgan Chase has noted “high anticipation” on the Bitcoin options trading launch, but adoption may lag and there are still downside risks, reported Bloomberg. Options offer a bet on which direction bitcoin would take, and trading positions do not require owning coins.
The options, which arrive about a month after Bakkt launched its own version of the product, hinge on the success of CME futures. The futures product has shown high activity in the past couple of years, despite the claims the futures market may be swaying bitcoin price unfairly.
The new futures will base their trading positions on the CME CF Bitcoin Reference Rate (BRR), trying to avoid the most volatile spot price discovery by tapping some of the more reliable crypto exchanges.
Each options contract represents 5 BTC, and the Chicago market operator will serve as a central settlement party, to avoid counterparty risk. The first trades were made as of 15:00 UTC on Monday. The options market is another tool to hedge bitcoin price risk, with positions allowing security against fluctuations. Hypothetically, futures and options markets may serve miners, or other participants that want to protect against volatility.
Bitcoin Enters Period of Relative Price Stability After Rally
The long-awaited options launch arrives at a time when BTC looks stagnant again, establishing relative stability close to $8,100.
Bitcoin prices have already experienced the effect of options through the Deribit exchange that attempted the novel derivatives. But unlike the DeFi startup, Bakkt and CME options offer enough security to entice institutional investors. An established market operator like the CME may re-attract hedge funds, despite the currently lowered interest of institutional investors. The CME explained,
CME options on bitcoin futures give the buyer of a call/put the right to buy/sell one bitcoin futures contract at a specified strike price at some future date. Upon termination of trading, in-the-money options, expire into 1 bitcoin futures contract which immediately cash settles to the CME CF Bitcoin Reference Rate (BRR)
Options will be accessible through the Globex exchange, and through CME Clearpoint. The product has been running in testing mode for about a month before its official launch. After the news of the launch, BTC remained relatively unmoved at $8,097.66.
What do you think about the launch of CME options? Share your thoughts in the comments section below!
Images via Shutterstock The post appeared first on Bitcoinist.com. origin »
Coinspeaker CME Group Is Launching Its Bitcoin Options amid High Anticipation in the MarketExperts note high anticipation among market participants for the launch of CME Group Bitcoin options trading.
A fall in an important Bitcoin-related metric with ties to overall crypto market sentiment over the past couple of weeks, suggests that recent price action across the crypto market has traders and investors increasingly fearing that the bottom isn’t in for Bitcoin, and may be adjusting their expectations and preparing positions in anticipation of the... The post appeared first on NewsBTC.
The Enjin Coin price ended a long period of consolidation with a breakout on December 4. This was possibly the beginning of a new market cycle. The Enjin Coin price increased by more than 50 percent on December 4 — possibly in anticipation of the announced partnership between Enjin Coin and Microsoft in regards to […]
The post Enjin Coin’s Breakout Was Possibly the Beginning of a New Market Cycle appeared first on BeInCrypto.
For the first time ever, the Dow Jones Industrial Average closed above 28,000 while the S&P 500 index hit its fourth consecutive record. These bullish sentiments some market commentators believe are here to stay.
The crypto market has plunged down by more than ten billion dollars today as traders begin to sell in anticipation of a bearish outcome as Facebook founder Mark Zuckerberg appears before Congress today.
Exchanges have still not cleaned up their act. In September, a month where the Spot market was left aside and the Futures market was at the fore, with the anticipation and eventual let down of Bakkt, the former saw significant movement.
XRP surged more than 40 percent over the last few weeks as Ripple prepares to host its annual conference, Swell. As the date approaches, the market anticipates a significant price increase based on the impact this event had in previous years.
After much anticipation of an explosive move, Bitcoin has finally chosen a direction for the short-term dumping through the asymmetrical triangle support. Current market price rests on $8,100 support but looks poised to drop further.
By CCN Markets: Economists expected Germany, the biggest economy in the eurozone, to introduce crucial stimuli to boost the eurozone economy that could shift the sentiment of the European equities and the wider stock market.
Over the past month, Bitcoin prices have surged upward yet again, eliciting excitement, anticipation, and an overall positive outlook on the entire cryptocurrency market. 2019 has been good to cryptocurrency investors.
Bitcoin price action has turned bullish in anticipation of its upcoming halving since the start of 2019, and the leading crypto asset by market cap has only recently started to take a pause to consolidate on weekly price charts.
For the first time in the history of a crypto market, the Bitcoin rally did not lead to an increase in altcoins. On the crypto market, confrontational relations are established, which are characteristic of the fiat market.
The bull market is in the air as digital exchanges roll out new features in anticipation of the influx of new retail traders. Just recently, CEX. io expanded its operations to the U. S. to target dissatisfied Coinbase users.
The sudden collapse of the entire market and bitcoin to almost $ 10K has generated great excitement in crypto community. Those who did not enter the Corn, tensed in anticipation of the possibility of purchasing BTC at lows.
The Dow and broader U. S. stock market traded in a narrow range on Monday, as investors remained on the sidelines in anticipation of a slew of high-profile events later in the week. Dow Ekes Out Modest Gains; S&P 500 Falls Wall Street's major indexes hovered right around break-even on Monday, which reflected a tepid pre-market for Dow futures.
By CCN Markets: The bitcoin price has surged by seven percent on the day, recording a 32 percent monthly gain and a 151 percent year-to-date gain against the U. S. dollar. The strong upside movement of the dominant cryptocurrency has occurred in anticipation of the opening of the CME bitcoin futures market on Monday.
By CCN Markets: Year-to-date, litecoin price has increased by 357 percent against the U. S. dollar, outperforming every top ten crypto asset in the global market including bitcoin, Ethereum, and EOS.
Throughout 2019, the entire crypto market has been led by the silver to Bitcoin being digital gold, Litecoin. The crypto asset’s halving is in less than 70 days, and investors are eagerly loading up their bags in anticipation of the pre-halving pump that’s become a meme across the crypto community.
One of the more popular justifications for the current bull market floating around the Internet is the growing hostility between China and the USA. Several experts and industry insiders believe Chinese investors are pulling their money out of the Yuan in anticipation of further depreciation, as reported by Forbes on May 15, 2019.
Bitcoin [BTC], is experiencing a massive bull run, with no signs of slowing down anytime soon. Several factors have been mulled as the possible fuel to this bullish fire, from FOMO, to halving anticipation and even a sentiment swing.
By CCN: The Dow and broader U. S. stock market drifted slightly lower on Monday, as investors disengaged from the markets in anticipation of fresh trading catalysts tied to economic data, corporate earnings, and a potential breakthrough in China trade negotiations.
The Dow lagged the broader U. S. stock market on Thursday, as earnings anticipation zapped trade volumes and bond yields rose following better than expected jobs data. Dow, Nasdaq Finish Lower All of Wall Street’s major indexes finished well off session lows, though trading activity was subdued for most of the day, mirroring a tepid pre-market for Dow futures.
The Dow and broader U. S. stock market declined in unison on Tuesday, as jittery investors pivoted away from riskier assets in anticipation of a gloomy earnings season for Wall Street. Dow Falls Hard; S&P 500, Nasdaq Follow All of Wall Street’s major indexes headed lower on Tuesday, with the Dow Jones Industrial Average losing as much as 238 points.
The Dow outpaced the broader U. S. stock market on Thursday, as shares of the recently divided Dow Inc. (D) surged in anticipation of a new cyclical growth period for the plastic maker. Dow Jumps as Traders Go Rabid The Dow Jones Industrial Average rose by as much as 172 points, reflecting a strong pre-market for U.
The Dow Jones is set for an epic collapse, plunging the US into a recession as early as this year, according to Crescat Capital. The hedge fund, which consistently outperforms the market, is loading up on short positions on global stocks and shifting assets into gold in anticipation of a stock market meltdown.
Zilliqa (ZIL) is in the green today, even as the rest of the market continues trading sideways. While there is nothing particularly interesting happening around Zilliqa today, this could be the beginning of positive momentum build up around Zilliqa (ZIL), in anticipation of the upcoming of the launch of the Zilliqa anchor dapps. This will […]
The big anticipation this week is for Ethereum’s Constantinople hard fork but Tron will also be forking before month end. Traditionally hard forks and network upgrades are bullish for crypto assets but in light of the recent massive market dump the effect on prices may be harder to ascertain this time.
According to the Korea Herald, the U. S. Bitcoin ETF decision will shape the mood of the cryptocurrency market in the country. The All-Important Bitcoin ETF Decision It isn’t only the likes of SolidX, VanEck, and the flurry of other Bitcoin ETF proposals that are waiting in anticipation for April 5, the date scheduled for the SEC to reach a decision on whether to allow them or not.
Chipmaker Nvidia has had a tough time since the cryptocurrency market crashed. In November Nvidia’s stock price dropped by 19% and then it fell by a further 50% in December. The cause was an excess inventory of Pascal cards they produced for cryptocurrency miners in anticipation of high demand.
The last months of 2018 were punctuated with lots of anticipation as crypto enthusiasts held their breaths waiting for a Bitcoin ETF and the launch of Bakkt, a crypto futures trading platform that pledges to revolutionize the market.
The flat market since the beginning of the year has an explanation. In January there are several important events that can affect both the market as a whole and some cryptocurrencies. In anticipation of these events, the market stalled.
The NiTRON Summit by the Tron Foundation is less than two weeks away and the excitement is evident as can be seen with the current market performance of TRX. Checking Coinmarketcap. com, we find that TRX is firmly in the number 10 slot at a value of $0.
It’s been over a year since the Cboe and CME listed the world’s first bitcoin futures contracts, the first ever bitcoin investment product to hit the legacy market.
Though cryptocurrency has experienced a bearish market in the latter part of 2018, the early investors called the ‘Whales’ took the best advantage of this period. In expectation of a future rise and scarcity of digital currency, they stocked up cryptos worth billions, via open market sources.
Bitcoin enthusiasts and crypto investors are in full anticipation of yet a bullish market in the crypto industry, soon. This is not unexpected since the price of bitcoin and other cryptos have been on the downward slide for some time now.
Monero (XMR) Now Compatible With Ledger Nano S After months of anticipation, Monero (XMR), best known as this nascent market’s foremost privacy cryptocurrency, has been added to the Ledger Nano S, the brainchild and flagship product of French crypto upstart Ledger.
The cryptocurrency market, after reaching all-time highs last year, came crashing down throughout most of 2018. The downward spiral resulted in some cryptocurrencies losing anywhere between 90-100% of the gains made during the previous year.
First it was ZRX that surged in the anticipation of its listing on Coinbase, then it was BAT’s turn. Once BAT did its ritual pump and dump, buyers are parking their gains from these two altcoins into the next top candidates for Coinbase listing.
The Digital Currency Group-owned digital currency investment company, Grayscale Investments, has published its quarter three (Q3) 2018 report. The report highlights that institutional investors have made up the majority of its fund inflows in the last three months, which suggests that “smart money” may be buying into digital currencies in anticipation of an upcoming rally.
Tron launched its mainnet at the end of May this year. There was significant anticipation behind the mainnet launch which resulted in price significantly appreciating in the build-up. However, in line with the rest of the cryptocurrency market, Tron has depreciated considerably since.
According to California-based consulting and research firm Grand View Research, the market for blockchain technology will grow to be worth $7. 59 bn by 2024. This constitutes a growth of 458% in the period based on a cumulative annual growth rate (CAGR) of 37.
The Lisk network has a unique market positioning — to make the often challenging task of Dapp development, a more modular, straightforward process. Its price has also done well in recent weeks on the back of anticipation surrounding an upcoming network upgrade.
The price of Bitcoin rallied when users believed that CBOE–VanEck-SolidX would get an exchange-traded fund (ETF) approval from the Securities and Exchange Commission (SEC) earlier this month. As anticipation was high and investors were hopeful, there was no reason to believe that it wouldn’t bring hoards of cash to the market via institutional investors.
LTC/USD Medium-term Trend: Ranging Resistance Levels: $78, $80, $82 Support Levels: $76, $74, $72 Yesterday, August 1, the LTC price was in a bearish trend. The cryptocurrency fell the low of $75. 94 which was the previous low of July,13.
Positive market sentiment pushes the value of Bitcoin beyond $8,000 for the first time since May 24, 2018, sparking anticipation of a possible bull run as predicted by market analysts such as eToro’s Mati Greenspan.
EOS/USD Medium-term Trend: Bullish Resistance levels: $ 9. 5, $10. 0, $10. 5 Support levels: $8. 0, $7. 5, $7. 0 Yesterday, July 3, price of EOS was in a bullish trend. Also, a trend line was drawn to determine support levels in anticipation of a bullish market.
The crypto markets are bracing for major volatility as $17B Bitcoin, Ethereum options are set to expire on Friday. Crypto markets are bracing for a major volatility-inducing event. On Friday, October 31, over $17 billion worth of Bitcoin and Ethereum…
Most Bitcoin options are clustering in the $100,000 to $120,000 range, with some traders betting $300,000 on moonshots. The Bitcoin options market is revealing bets clustered around its current price of $120,000, with speculative outliers showing demand for upside exposure.…
Kraken has introduced a new asset class to its derivatives platform in an effort to expand past crypto. The exchange announced the launch of forex perpetual futures (FX perps) with initial support for EUR/USD and GBP/USD trading pairs. Forex perpetual…
Hyperliquid incurred an estimated $10.63 million loss due to a sudden 230% surge in $JELLY’s price, leading to the token’s delisting and compensation plans for affected users. Hyperliquid (HYPE) treasury had automatically assumed a $5 million short position in JELLY,…
The current crypto bloodbath is pushing investors to seek protection by buying options. According to Bybit X Block Scholes crypto derivatives analytics report, the current crypto market downturn has pushed investors to buy options as a way of hedging against…
Crypto market maker DWF Labs has launched DWF Options, a service offering tailored options trading and risk management solutions. The firm announced the initiative on X, highlighting its goal of expanding accessibility to crypto options for both retail and institutional…
Bybit and Block Scholes’ latest report reveals that the Bitcoin options market maintained stability in the face of year-end expirations, while Ethereum options are poised for brief volatility. According to a report published by crypto exchange Bybit and analytics platform…
