bitcoin

Records Come for Bitcoins ETF Options

It has certainly been a year of uncertainty for those invested in bitcoin with lots of highs and just as many lows as lots of changes have been set to come – it had initially seemed like plenty of good news with the opportunity for more mainstream uses with options being picked up through online services like this list and the potential with bigger names like  Tesla too. This quickly went away however, and with the news that China would be cracking down on Bitcoin as one of the biggest contributing markets, it sent the crypto into a bit of a strange position. But it seems recovery is on the way as the launch of Bitcoin ETF options and the huge successes already found show a promising future.

Records Come for Bitcoins ETF Options

The biggest success came from the ProShares Bitcoin Strategy ETF which some over $550 million in trades in the first day of options, with more than $1 billion of shares changing hands throughout the launch which also led to a big spike in the price of the crypto by more than 4% beating out its all-time high – reaching $60,000 a few times over this year was overshadowed as Bitcoin was able to hit an all time high of $66,900 in the middle of last week, beating out the previous record of $64,899 set back in April.

Although the launch has been successful, that isn’t to say there aren’t still concerns in the market particularly around newer ETF approvals too as the change has been slow due to concern for potential fraud and market manipulation too – this could mean newer options are still slower to emerge and that after this initial boom things look to slow somewhat and run into some more delays eventually too.

For new investors too, there is a steep learning curve if this option is to be explored, it has been labelled as a Christmas for high-frequency traders who understand what the huge price swings mean and for those who are able to dedicate the time to trading these options, this isn’t a long-term option for those looking stable returns as the highly volatile market has shown just this year how big price swings can go, and certainly not something that should make up the majority of a portfolio.

It has also been suggested that Bitcoin is just the start as this now opens the door for ETF options and exposure to many different crypto assets, Ethereum will certainly be the next target as something perhaps slightly more stable, and other popular coins that have gained some traction in recent months may look to expand into this space too but with many of the same warnings attached.

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