The crypto market is in the last days and weeks, until the sudden price drop in the night from Thursday to Friday, very stable, and the volatility of their young value in the history ofis reached. The Bitcoin Futures are according to the latest studies responsible.
Last year in December, as the Derivative markets, CBOE, and CME hang up the first regulated US Bitcoin Futures contracts, hoped for many investors, the entry of institutional investors in the market. Thus, a new Bitcoin should start to Rally, the fresh capital in the market.
In fact, increased theto hitherto unsuspected heights and reached a price of over $ 20,000 his former and current Maximum. A few weeks later, a down, a continued movement that continues to this day, and the crypto-market that used to be a flight of fancy on a stable level.
A group of researchers at the Federal Reserve in San Francisco found in the latest Research, that the introduction of Bitcoin Futures to be the reason for the price drop and a more stable exchange rate of Bitcoin and the crypto market. The Future contracts that have allowed institutional investors to shorten for the first time, Bitcoin.
In an Interview with Fox Business, the Chairman of the CFTC and Christopher Giancarlo explained that the strategy chosen to thrust on the heated criticism, however, in his opinion, the right path was translated, in order to bring more financial products in the market and, thereby, to achieve a more sustainable price level (free):
According to the Federal reserve Bank of San Francisco, it was the Bitcoin-Futures-boom, which has shaken the end of 2017 outbreak of the Bitcoin bubble, and we have Bitcoin seen, perhaps according to some people, a more sustainable level as during the bubble period in the last year.
Giancarlo describes, that the market would not have achieved without the inflow of institutional investors, the maturity that we see today. Especially companies such as the Intercontinental Exchange and TD Ameritrade, as well as other University endowments such as Yale, Harvard, or the WITH have beigrtagen by investing in crypto-Fund significantly to the further development of (freely translated):
We are seeing more institutional movement in this area, and I think with more institutional movement, we should see some more maturation. Like all things, it needs time to Mature, and with the movement of more institutional investors in this space, I think we will see this maturation.
He comes to the conclusion that crypto-currencies are on a good way in a Mature financing to be stubborn element, and in a few years in the Mainstream could establish. We are excited and hope that the current sideways ends movement soon and the prices may again rise.