Showing posts with label cboe. Show all posts
Showing posts with label cboe. Show all posts

Conspiracy theory, or solid logic? Why i'm watching some corporation's plans closer than the charts - and why today's big story may be much BIGGER...

I'm no conspiracy theorist, at least not usually. But I am one among many in the cryptocurrency world who believe there were several forces at play when the bear market we're in today was triggered, some more suspicious than others.

Silicon Valley reporter Ross Davis summed it up well in a tweet:

"I hope everyone truly appreciates just how strange it is.

80%+ crash, and financial services industry responded with “WE WANT IN!”

...Just coincidence the newbies get scared off, while corporations position themselves as middlemen. Right. " 

You probably remember how it felt at the time of the 2017 peak, it shocked many that all this as happening without the blessings, or really any involvement from the usual players you find almost every time billions of dollars are changing hands.

It's like they found a way to press rewind, get a 'do over' that they sure as hell haven't wasted. One after another, the major financial institutions are setting up their cypto trading operations, developing new custody solutions, and made certain that the next time cryptocurrency explodes - they're guaranteed a piece of the pie.

I promise you - they didn't do this thinking there's just a 'small chance' of a crypto comeback.

If you're with me so far, you'll likely also agree this means the first signs the market is about to turn bullish won't be seen in the charts - our first hints will be based on what the institutional heavyweights have on the horizon - in regards to corporate planning.

What products are they putting more resources into next quarter? What are they beginning to phase out?  I believe this is the type of movement you want to watching for signals.

While there are also some standard market fundamentals pointing to a bullish market on the horizon, such as a spike in new addresses and an upturn in sentiment, something else caught my attention - CBOE announcing they'll be wrapping up Bitcoin futures trading, and the market responding positively with growth as Bitcoin breaks above $4000.

I want you to realize, CBOE's Bitcoin futures market was like training wheels for Wall Street.  They could watch Bitcoin's price movement and profit from correctly predicting it, all without ever owning any cryptocurrency tokens.

The demand for futures has dropped, while at the same time - indicators of increased interest in real Bitcoin ownership has gone up.

Those training wheels are coming off, investors who dabbled in Bitcoin futures because it was the only Bitcoin related investment offer from firms they trust, soon will have those firms offering them real Bitcoin ownership.

So OF COURSE popularity of futures trading will decline when companies like Fidelity, or Bakkt by Nasdaq, Starbucks and Microsoft will be offering people the real thing.

With CBOE's announcement, followed by price movement upward, plus in CBOE themselves making it clear they 'aren't closing the door on crypto' and hinting at another product coming - we're seeing the shift begin.

Be alert for institutional investor focused firms wrapping up the old, as they prepare to launch what's new?  While this example isn't the one that has me yelling "it's happening right now!" it is the perfect example of what to look for in these coming few months. Small steps before the running of the bulls!
Author: Oliver Redding
Seattle News Desk

Breaking: CME Group won't be first to offer Bitcoin Futures trading - CBOE announces Dec 10 launch!

The big buzz in the cryptocurrency market lately has revolved around what will happen when Wall Street dives in head first and begins offering Bitcoin futures trading.

Virtually all that buzz centered on the plans CME Group, the Chicago/New York firm with over $3 Billion in annual revenue.

But in a surprising move - a rival firm is beating them to the punch! CBOE announced today they'll be offing Bitcoin futures on December 10th.

CME will now be jumping in a week later, on December 18th.

CBOE is roughly 1/3 the size of CME Group, the world's largest player in futures. 

Today in a press release CBOE stated:

Cboe Futures Exchange, LLC (CFE) plans to launch trading in Cboe bitcoin futures at 5:00 p.m. Central Time on December 10 under the ticker symbol "XBT". This brings many benefits to traders, including transparency, efficient price discovery, deep liquidity and centralized clearing. XBTSM futures provides a centralized marketplace for participants to trade based on their view of bitcoin prices, gain exposure to bitcoin prices or hedge their existing bitcoin positions.

CBOE is encouraging their clients to either "trade based on their outlook" of Bitcoin's future, or "Hedge their Bitcoin risks".

Author: Ross Davis
San Francisco News Desk