What will be the impact to bitcoin price after CME future start trading?

MoonJeina

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Quote from: windsee on December 05, 2017, 03:19:13 AM

What will be the impact to bitcoin price after CME future start trading?

I think the price will become more volatile as more money will enter bitcoin market via transitional way

CME future is a very reputed and has a huge manipulation on the market place . Their investment in Bitcoin will lead to a shoot in the price of bitcoin . Obviously , an investment of millions is going to pump up the coinbase . Any other such investment would be creating a huge impact on Bitcoin . The only fear comes that after getting a huge profit from bitcoin they must not start dumping it off . That in turn would lead to the inverse affect on bitcoin and bitcoin may take a huge dip . But such huge investments are going to attract many other MNCs to take the smiliar bold step .

PricklyPear1

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Futures is how big banks and the gov’t are going to get a hold of BTC from a regulatory standpoint. Since it is not actually feasible at this point to put restrictions on the actual coins themselves, the trading of them, etc.

Step 1: Buy lots of BTC on the open market with mega cash to push price up exponentially in a short time

Step 2: Open futures market and take out a massive short position

Step 3: Once futures market is open, dump large position into the price run up

Step 4: Sell short position for huge cash surplus

Step 5: Purchase BTC on the market for reduced rate

Step 6: Rise and repeat

Through doing this, large banks, investment firms, etc. will be able to accumulate the necessary BTC position over the coming years necessary to corner the market. Subsequently, these entities are also subject to gov’t regulations. This is how the gov’t gets a foot hold as well. As the price increases to very high levels over the coming years, the cost to miners will be astronomical and the transaction fees will be too much to handle. They will need a way to keep these manageable. Futures will offer protection to miners and will allow the common person to get involved as BTC will become more and more scarce.

Anonylz

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do you know how does a future exchange works? they are not going to put a cent in the marketcap, you are wrong with that.

Quote from: soham on December 05, 2017, 03:30:02 AM

Yes, the bitcoin price will become more volatile after the CME group enters in to the crypto market with few billions of dollars.

Exactly, the only thing that can make the price go up is just the pure speculation that is behind all this thing. Probably there are going to be a lot of news, and more among the streets, this will make people invest a lot of money.

Quote from: hugeblack on December 05, 2017, 08:27:46 AM

positive for the market, the price will become more volatile but will not affect directly on price (fast increase).

but the cme is just going to affect the price indirectly, i dont know why a lot of people are saying that they will put dozens of billion of dollars in the market, because it is fake.

hugeblack

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Quote from: windsee on December 05, 2017, 03:19:13 AM

What will be the impact to bitcoin price after CME future start trading?

I think the price will become more volatile as more money will enter bitcoin market via transitional way

positive for the market, the price will become more volatile but will not affect directly on price (fast increase).

all this give good positive future for bitcoin and all crypto.

next year have much good positive news which takes bitcoin break 20,000$ by the end of 2018.

youghten

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any small demand will grow price of bitcoin so if CME join they will add new numbers for bitcoin.

all this news will make 2018 better than 2017

alyssa85

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Quote from: icanscript on December 05, 2017, 04:08:35 AM

Futures only indirectly affect the cost of bitcoin.
Billions will not flow into the bitcoin market, but into the created financial instruments. It's like a parasite on the body of bitcoin.
Perhaps in the long term they will draw investors from bitcoin.

This is true - but I suspect many hedge funds have accumulated bitcoins in the lead up to the CME launch so that they can affect the underlying market.

The amounts traded on the CME will dwarf the amounts traded in bitcoin. So easy to put a gigantic short on the CME, then sell your actual coins to push the market down, which is doable because it's not a huge market. Close your CME short. Profit.

hase0278

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Quote from: icanscript on December 05, 2017, 04:08:35 AM

Futures only indirectly affect the cost of bitcoin.
Billions will not flow into the bitcoin market, but into the created financial instruments. It's like a parasite on the body of bitcoin.
Perhaps in the long term they will draw investors from bitcoin.

Since that is the case, it will somehow directly affect the cost of bitcoin since it will draw investors away from bitcoin. When that happens, for sure bitcoin price would go down in price because of CME future if ever your guess was right. If it was the other way around which is very unlikely, then it will greatly boost bitcoin price. Either way if it wont draw away investors from bitcoin it will not affect bitcoin price at all.

bob123

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I agree with the idea of Bitcoin making a few 'hops' and going to rise a bit and also with the volatility which will rise.
But i don't think this will be a long term state (of btc). Price may be going to get pumped a bit, followed by investors realizing their profits.
After this (more volatily) timeframe btc is probably going to 'stabalize' again, provided big whales aren't going hard on manipulating the price of BTC.
In the end CME starting future trades is a step forwards in the right direction to get bitcoin adoptet more widely.

BlockchainCoder

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As the world's largest regulated FX marketplace the CME will soon impact the bitcoion trade price,
More and more market accept the Bitcoin trades, and many people start to invest on the bitcoin.
Many good news for the Bitcoin these days. Tongue

Btw. Korean is start to think about tax of bitcoin profit, I don't know if there will come more and more countries gov. want to share this cake.

lucifochrome

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It may have a positive effect on the market but on the other hand it may have a negative effect. From my understanding Future will be able to double the bitcoin that you have if market is good but if not you will also lose double the amount with this being said given that bitcoin is highly volatile this may cause more volatility than what we are currently experiencing and with that volatility it can be a good thing with trading but it can also be a bad thing.

icanscript

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Futures only indirectly affect the cost of bitcoin.
Billions will not flow into the bitcoin market, but into the created financial instruments. It's like a parasite on the body of bitcoin.
Perhaps in the long term they will draw investors from bitcoin.

soham

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Yes, the bitcoin price will become more volatile after the CME group enters in to the crypto market with few billions of dollars. And because they are cash rich, the price manipulation would be easier for them. But I believe the crypto market will be impacted in a positive way because the entry of big institutional player in to crypto market will mark another step closer to the legalization. That will matter a lot to the crypto community worldwide and a positive impact will definitely happen. Even the price will be more volatile than now, but bitcoin will be able to keep up with the upward trend. That's what I believe!

windsee

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What will be the impact to bitcoin price after CME future start trading?

I think the price will become more volatile as more money will enter bitcoin market via transitional way

Topic: What will be the impact to bitcoin price after CME future start trading? (Read 413 times)