Cryptocurrency

Bitcoin bullish: Trading activity on the stock exchanges reached unprecedented levels

The price of Bitcoin was recorded in the last week of a strong up trend. It seems that the fundamental strength that has built the crypto-currency in the last few months, reflects gradually in your price.

The recent price rise is a never-before-seen Background of a loose fiscal policy of governments around the world, as well as the strong upward trends in several markets – including equities and commodities.

Bitcoin has – as Gold – many of the characteristic features of a “hard asset” – and, as such, investors seem to reinforce your commitment, because the world economy is in uncharted waters.

Latest data show that institutions are dealing now increasingly, with the crypto-markets, as the trading activities on the CME markets have reached unprecedented levels.

Bitcoin and other Hard Assets have seen tremendous Upward trend

Investors who feel in view of the loose monetary policy that has driven the markets in the height, jaded, move large amounts of capital into hard assets.

In the course of the last month the price of silver in a strong was the upward trend that has made it possible for him of $ 18 per ounce to highs of nearly $ 25 per ounce to climb.

Similar booms are also metals with other precious to watch.

Gold, for example, was able to record some notable gains. At the beginning of July, the metal was quoted at approximately $ 1.775 per ounce. At the time of writing it is traded at $ 1.955 per ounce.

Bitcoin has also recorded a similar price trend, suggesting that investors treat the metal and much like Gold and silver.

At the beginning of July, the price of Bitcoin within the bottom of the 9,000-Dollar-Region was stable. This is approximately where it had been consolidated since the beginning of may.

In the last few days, however, he came in the Wake of a strong upward trend that had him on the maximum of 11,400 $ are on the rise. Since then, the price has stabilized at around 11,000 dollars.

Data show that institutions engage more and more BTC

Institutional investors that have massive amounts of Capital, to secure, also, against the potentially impending economic turmoil.

A recent report from Arcane Research, the institutional Bitcoin increased trading activities on the CME lately is growing rapidly.

The Open Interest on the institutionally-oriented platform is now at an all time high of 724 million dollars.

“It is worth noting that the current Open Interest has reached out to the CME, an all-time high of 724 million dollars, a clear indication that more and more institutional investors seek to have an involvement in Bitcoin.”

On the CME, about 10 percent of the outstanding Open Interest of the aggregate of crypto-markets now.

Image courtesy of Arcane Research. Data Skew.

There is no reason why this should not accelerate the Trend in the near future, since the forthcoming economic stimulus packages and the continued uncertainty about the ongoing pandemic of hard investments incredibly attractive.

About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.

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