Bitcoin is becoming even more popular nowadays. The digital currency has significantly increased in value in the last 12 months and it seems as though the bandwagon keeps rolling on. Bitcoin has already hit new highs this year but things are getting even better. CME Group, one of the giants in the financial market, announced the launch of Bitcoin futures. The move comes barely a week after CBOE Global Markets also confirmed the same.
The entry of respectable financial institutions into the Bitcoin market is the strongest signal that the digital currency is here to stay. Mainstream acceptance will continue to increase the credibility of Bitcoin. This will attract more investors moving forward. Business leaders, government officials, and economists have also given credence to Bitcoin. Nonetheless, the launch of CME Bitcoin futures will be the biggest mark of legitimacy for the coin.
Just before Bitcoin futures trading started on CME, the digital currency rose massively. The currency was trading at just above $20,000 on Sunday before slipping down again. Although the rise was temporary, it’s a very clear indication that financial institutions will have a huge role to play in guaranteeing the future of Bitcoin. As of Monday morning, Bitcoin was trading at slightly above $19,000. This is still massive especially when you consider that it’s barely a month since the currency went above the $10,000 mark.
But this is not the end of the story. Analysts feel that the currency will continue to rise next year. 2017 has been a great year for Bitcoin. So far, the digital currency has grown 1,700%. There is also a lot of anticipation that many more mainstream financial institutions will start accepting the currency. NASDAQ recently announced that it is planning to launch Bitcoin futures too. As these mainstream financial institutions join the Bitcoin market, its credibility and legitimacy will massively improve. This will likely make the current Bitcoin value skyrocket even more.
Despite this outstanding growth, Bitcoin has also had its critics. Some economists have called it the “largest financial bubble” ever. They feel that at some point the digital currency will run out of room to grow. However, these warnings appear to be falling on deaf ears. Bitcoin investors are growing by the day. The entrance of high profile financial institutions into the Bitcoin market is also a crucial sign of confidence.
Companies like CME, NASDAQ, and CBOE Global Markets are all heavyweights in the financial sector. Although CBOE Global Markets is relatively smaller compared to the other two, it still records a significant amount of futures trading.
Bitcoin optimists think that the entry of these large financial institutions will open the door for others to follow. How soon this will happen remains to be seen but the future prospects for Bitcoin have never been more positive.
The incredible success that Bitcoin has had so far is unprecedented. Analysts agree that many financial markets and exchanges might be forced to tap into the Bitcoin market for fear of missing out. However, things are looking good for the cryptocurrency.