CBOE Says Goodbye to Bitcoin Futures, but BTC Moves Beyond $4000

The news of CBOE delisting Bitcoin futures doesn’t seem to have produced a negative effect on the cryptocurrency. Despite the futures contracts saying goodbye, Bitcoin managed to move past $4,000. Experts recently sat with CNBC Fast Money’s Host Melissa Lee to talk about the causes and repercussions of the move.

Losing One Part of the Bitcoin Futures Story

The Bitcoin Futures contracts were approved in late 2017 and were formally introduced to the world in December 2017 by CBOE, followed by CME. A little more than a year later, CBOE has hung its shoes, leaving only CME in the market. Brian Kelly commented during the show, saying “retail is exhausted.” He implied that Bitcoin’s bottom has passed, noting that the crypto asset was at its lowest in December since 2016’s bear markets. Since then, the fundamentals of the cryptocurrency have improved. He said that retailers are now exhausted, just like the sellers.

He also pointed out that more solutions are entering the marketing, talking specifically about Fidelity. Noting all the positive signals in the market and BTC’s move beyond $4,000 Kelly said that $3,000 mark could eventually end up being a great price to buy Bitcoin in retrospect.

The Institutions Never Came for the Futures

The program’s host Lee noted that when the futures product was launched, it was expected to bring some institutional investment in the sector but failed to do so. Kelly said that custodial services have become much better since the futures contract was launched. Institutions can now buy physical Bitcoins and have options on both the lending and shorting side of the assets. Therefore, there is less need for a futures contract.

Tim Seymour added to the conversation saying that money that traditionally went into gold and then in Bitcoin can also start flowing into the cannabis industry.

CBOE’s last futures contract for Bitcoin will expire in June this year.

The post CBOE Says Goodbye to Bitcoin Futures, but BTC Moves Beyond $4000 appeared first on TokenMantra.