Bitcoin jumped to new heights on Sunday, while the world's largest crypto according to market capitalization continued to generate bids following Segwit2x's cancellation.
BTC / USD price levels
The value of a single bitcoin hit a daily high of $ 8,110.59, its best recorded level. At the time of going to press, the BTC / USD was valued at around $ 8,002 for a gain of 4%.
With the gain, the market capitalization of bitcoin now exceeds 133 billion dollars. It's about $ 100 billion more than Ethereum, the second largest cryptocurrency in the market.
Bitcoin added over $ 1,100 in the last five sessions. It was down around $ 5,600 just a week ago.
Bitcoin Cash (BCH), a digital currency alternative that broke from the original blockchain on August 1, was down 5.1% to $ 1,185. The BTC and the BCH stopped at the beginning of the month after the abandonment of the Segwit2x rigid fork.
$ 10,000 and more?
Institutional Clearing Platform LedgerX has launched its first long-term bitcoin futures option, which is expected to expire on December 28, 2018. For the implementation of the option, LedgerX assumes a $ 10,000 price to maturity. This is a 25% premium on current levels.
Investors who buy the option basically say that they believe that prices will exceed $ 10,000 at the time of expiration.
Bitcoin is being helped by the growing institutional demand for digital currency, as hedge funds, day traders and other investment firms seek access to this burgeoning asset class. CBOE and CME Group have announced their intention to incorporate bitcoin into more conventional investment vehicles in the coming months.
The rush of institutional money towards bitcoin is a sure sign that the digital asset class is getting too big to be ignored. The value of all outstanding cryptocurrencies has already exceeded $ 230 billion, with more than a dozen coins valued at $ 1 billion or more. Nine other countries have a market capitalization of $ 500 million or more.
The increase in institutional capital also forced Coinbase to set up a guard service targeting account holders with more than $ 10 million in assets. This service targets hedge funds and other institutions that have remained largely outside the cryptographic revolution.
In a recent blog post, Coinbase CEO Brian Armstrong announced that the new service will be launched next year.
"When we talk with these institutions, they tell us that the first thing that keeps them from starting is the existence of a digital asset custodian that they can trust to store the funds. customers safely, "writes Armstrong.
In addition to maintaining the minimum requirement of $ 10 million in assets, institutions must pay an installation fee of $ 100,000 to access the day care program. In response, institutional investors will be assured that their assets are safe.
The Coinbase Custody website lists extensive support for Bitcoin, Ethereum (ETH) and Litecoin (LTC), as well as ERC20 tokens. The ERC20 protocol has become the favorite of start-ups who launch initial coin offerings (ICOs), a controversial crowdfunding model that has already surpassed venture capital in the start-up phase.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not perform any short-term or day trading.
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