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Saturday, 21 July 01:35 (GMT -05:00)



Foreign exchange market

Bitcoin is Yet to Win Major Investors’ Trust


The first Bitcoin futures were finally launched in the USA. However, despite the fact that cryptocurrencies have already been recognized a part of the financial world, skeptics still don’t believe in them and anticipate a cryptocurrency market crash.  
 
So, the Bitcoin futures launch seems to have become another major step towards recognizing cryptocurrencies as major financial assets. After the launch in the USA, the German exchange is planning to launch Bitcoin futures as well. At the same time, market participants predict that Bitcoin will reach $40000 per 1BTC in 2018. At the same time, the skeptical part of the international expert community thinks that Bitcoin futures is going to make the entire cryptocurrency bubble burst in the near future.
 
At the same time, really big players like JP Morgan and Citigroup haven’t joined in yet. Most likely, they are afraid of uncertain, unpredictable, and extremely volatile market vulnerable to various technical breakdowns. Trading veterans remember the crash of mt.gox, a Tokyo-based exchange, in 2014. Instantly after this, the BTC exchange rate crashed by 30%. Should major American, Asian, and European players participated back them, the scale of the disaster would have been hard to imagine.
 
Major players are evaluating the first results of the Bitcoin futures trading.
 
It well may be that the so-called “whales” (big-scale players or the “smart money”) are still waiting for the first CBOE Bitcoin futures to start expiring on January 17th, 2018. Some experts seriously doubt that the contracts will actually be fulfilled as expected. The thing is, there is a huge gap between the futures cost and the actual BTC rate. For some futures, the gap is more than $1000 per each Bitcoin. To tell you the truth, with some other underlying assets, the difference between the futures and the actual rate may be considerable as well, but hardly to that extent.
 
The second problem is closely connected with the decentralized nature of cryptocurrencies. When it comes to Bitcoin futures, the CBOE relies on Gemini, an U.S.-based online exchange owned by the famous Winklevoss twins, the world’s first Bitcoin billionaires.
 
Given the current buying craze on Asian exchanges, the current rates on those exchanges and Gemini may differ considerably. So, the problem is, the owners of those first Bitcoin futures may make Bitcoin crash right before the expiration date to buy it cheap and then resell it in Asia.
 
There is no denying the fact that such manipulations may trigger market panic leading to a market crash. By the way, this is how mt.gox crashed in 2014. Back then, the online exchange went bankrupt after a hacker attack that trigger a huge sellout of Bitcoin. Potential big-scale investors also don’t like the fact that several hundred Bitcoin owners are actually capable of setting and changing market trends. The thing is, around 40% of the global Bitcoin stack is owned by a thousand individuals. This is something you won’t find anywhere in any other conventional financial market. Since the Bitcoin market cap is not that big compared to other financial markets out there, the asset itself become too vulnerable to various kinds of manipulation.
 
Another peculiarity of cryptocurrencies in general and Bitcoin in particular is reduced liquidity since you won’t be able to sell really big loads of cryptocurrencies in an instance and at a fixed price, the way you can do it in many other conventional financial markets. So, the futures market is really capable to change the way digital currencies circulate in the digital world. On the one hand, hedge funds may be potentially interested in shorting Bitcoin since this can create a tool to balance the market and prevent bitcoin form growing infinitely. On the other hand, the market situation can see a negative change if really big players really want it. The can start going bullish on those Bitcoin futures, which will eventually make Bitcoin crash after failing to withstand the huge pressure.
 
With that being said, cryptocurrencies still remain unstable and uncertain. Despite the enthusiasm with which some market players have been loading up on cryptocurrencies, these digital assets are yet to prove their consistency to really big players.
 
Goldman Sachs experts assume that it’s too early to talk about Bitcoin’s ability to oust the conventional safe0haven asset, which is gold. Major bankers have been disputing with successful Bitcoin investors, who claim that Bitcoin is digital gold, and the BTC exchange rate will reach $40000 in 2018. Goldman Sachs experts think this comparison is childish. They say that 300 billion dollars of the Bitcoin market cap is nothing compared to 8 trillion dollars of the gold market cap.
 
So, big bankers and Bitcoin enthusiasts don’t agree with each other. The bankers are skeptical, and sometimes even hostile to digital currencies. The enthusiasts say that it’s just that the bankers aren’t getting any benefit from those digital currencies yet. Moreover, bitcoin and other cryptocurrencies threaten the conventional financial and banking systems as we know them. That’s why they have to behave like that. Actually, the hostile reaction is coming from the world’s leading banks while outsiders start adopting them already.
 

 

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Bitcoin Gets Cheaper on News about Hacking Swiss Cryptocurrency Exchange Bancor

On July 11th, Bitcoin and other altcoins continued their downtrend started on Monday. International experts say that the biggest reason for that is the news on hacking a Swiss crypto exchange known as Bancor. In particular, they say, the hackers stole 23,5 million dollars in crypto coins.

Publication date: 12 July 11:32 AM

Bitcoin Rate Reaches 6700 USD/BTC

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Publication date: 08 July 07:56 AM

This week Bitcoin may raise to 7000 USD/BTC

 This week, Bitcoin may grow in value all the way up to 7000 USD/BTC, some experts say. As you probably know, the past trading week wasn’t successful for the world’s first cryptocurrency, as well as for the rest of the crypto market. 

Publication date: 25 June 10:41 AM

UK to Start Litcoin Futures Trading

Starting from tomorrow, international investors will be limited only to buying Bitcoin futures. The thing is, on June 22nd, a UK-based crypto futures platform named Crypto Facilities launches Litecoin futures.
 
Publication date: 21 June 01:06 PM

Will Bitcoin Dive Below $6000?

Publication date: 19 June 12:42 PM

Today’s Bitcoin Rate Signals Growing Risks in Banking Sector

Yesterday, the BTC exchange rate suddenly started growing, probably as a part of a recovery move against the existing downtrend. According to CoinMarketCap, the current BTC exchange rate is somewhere above 7500 USD/BTC. Over the last 24 hours, the world’s first cryptocurrency has gained some 5%, trying to recover from May’s downtrend (in case you don’t know, the coin has lost 20% since early May before starting to recover yesterday).

Publication date: 31 May 08:33 AM

Bitcoin Goes Down Before Another Rally?

The BTC exchange rate keeps on going down while being driven by a number of factors and circumstances. International experts say that the price of the world’s first and most popular cryptocurrency is currently going down just to gain some momentum later and skyrocket to new highs.

Publication date: 29 May 11:19 AM

Masterforex-V Analysts name Successful ICOs in May 2018

For those of you who don’t know, an Initial Coin Offering (ICO) is all about raising funds. To be more specific, startups sell their underlying crypto tokens in exchange for existing crypto currencies, mostly Bitcoin, Ethereum and other altcoins out there. This resembles an IPO in the stock market where investors buy a newly offered stock.

Publication date: 23 May 12:14 PM

Bitcoin Will Hit $20K, CoinShares Says

Bitcoin is really capable of getting back to the all-time high at $20K per coin. This is what founder of Coinshares Danny Masters thinks on the matter. He is not a rookie in this business. His company has been creating investment products for the cryptocurrency market and conducting blockchain-related research for years. Mr. Masters believes in the future of Bitcoin and altcoins. However, he thinks the market is yet to pass a few development stages. 

Publication date: 20 May 08:38 AM

German Stock Exchange Börse Stuttgart Welcomes Cryptocurrencies

Soon enough, maybe this fall, German stock exchange Börse Stuttgart is going to start working with cryptocurrencies. For that purpose, the exchange is expected to use its branch. Trading cryptocurrencies will be implemented through the Bison app. The expected trading turnover is around 100 billion dollars.

Publication date: 17 May 12:00 PM