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The Bitcoin price reaches a new historical high at $ 6,450, as the market gains absolute confidence

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Earlier today, October 31, the price of bitcoin reached a new record high at $ 6,450, mainly because of CME Group's plans to launch a futures market bitcoin by the end of 2017.

Importance of the integration of Bitcoin from CME and its impact on price in the medium term

Many analysts, including Jamie McGeever of Reuters and Nick Baker of Bloomberg, attributed the recent rise in the price of bitcoin to the introduction of the launch of the bitcoin futures exchange of CME in the fourth quarter 2017.

CME Group is the largest stock exchange in the world, not just in the US domestic market, which generates $ 3.6 billion in annual revenue and controls 69 assets. billions of dollars. Its bitcoin integration will expose Bitcoin and the entire cryptocurrency market to a whole new spectrum of institutional and private investors in the traditional financial sector.

Investors and high-level traders who previously could not invest directly in bitcoin will be able to invest in cryptocurrency through strictly regulated channels such as CME futures. As reported by CCN, many large-scale US-based investors, like Mark Cuban, can not invest directly in bitcoin. For this reason, Cuba had invested in Bitcoin earlier this month through the intermediary of XBT Provider, an exchange traded (ETN) bitcoin operator in Nordic Nasdaq, Sweden.

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The market has gained absolute confidence in the medium-term performance of bitcoin over the last two days and, as a result, the price of bitcoin has continued to reach new historic highs. The vast majority of investors expect Bitcoin Exchange Traded Funds (ETFs) to be approved by the Securities and Exchange Commission (SEC) in the coming months, at least mid-2018, given the performance of LedgerX. , and US government approved derivatives trading platform, and the entry of CME into the market.

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Where does Bitcoin start from $ 6,450?

Prominent financial analysts, including Max Keizer, reaffirmed their medium-term target for the price of bitcoin at $ 10,000, while waiting for institutional and retail traders engage in short-term bitcoin and cryptocurrency trading

As Mike Novogratz, a billionaire hedge fund investor, has already noted, a "flock" of institutional investors is already preparing to invest in bitcoin and the cryptocurrency market.

"I can hear the flock come in. I was just in San Francisco, I met some great institutional investors and they are still far away, but they are coming in. A lot of funds are being raised and I am therefore confident enough that [Bitcoin price] is going higher, "Novogratz said in an interview with CNBC

.

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Several analysts have also pointed out that the violation of the $ 7,000 mark in the coming days will result in a bitcoin price of up to $ 10,000 by the end of 2017, or at least $ 20,000. Analysts anticipate the price of bitcoin to reach $ 7,000 before the SegWit2x rigid fork in November. As noted by Tuur Demeester, SegWit2x's tough November 16 fork could result in a minor bitcoin correction, just like Bitcoin Cash and Bitcoin Gold.

But, at the present time, the market and investors remain very confident in the short-term price trend of bitcoin, and growing liquidity markets like CME and LedgerX will provide the market with the best price. traditional financial industry in the near future.

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