As manipulation with the trading volume of the cryptocurrency exchanges will affect the Bitcoin ETF?

The SEC is holding back a decision on ETF on Bitcoin and other cryptocurrencies for several reasons. The most likely of them seems to be the lack of regulation of the market. Just recently, the Commission on securities and exchange Commission has submitted a report Bitwise Asset Management, according to which 95 percent of cryptocurrency trading volume turned out to be fake. According to the real volume of spot transactions in cryptomeria just over $ 270 million. While more than a third indicator accounts for Bitcoin futures CME and CBOE.

However, the Bitwise Asset Management believe that good news. At least because under the control of the CME — regulated market — is a significant piece of cryptotrading. And this is an important indicator which can influence the decision on ETF. Futures Bitcoin on the exchange, CME reach $ 85 million, that is 31.1% of the total trading volume of Bitcoin. At the same time Europe and Japan are other markets of Bitcoin futures. Roughly speaking, we see almost parity and unregulated institutional investment in Bitcoin.

The parity between spot trading Bitcoin and gold

Source: Goingape

The volume of spot transactions in gold is 0.55 percent of the world market capitalization. At the same time, according to statistics Bitwise, “the actual spot trade on Bitcoin is 0.39 per cent”. If we add to this figure the volume of Bitcoin futures on CME, that figure will increase to 0.51 percent. These data are not considered indicators OTC trading on most exchanges.

In General, we can conclude that institutional investments in Bitcoin are actually much bigger than it seemed. So start working with a niche will be more active, which certainly have a positive impact on the situation with the approval of the ETF. More data look at cryptodata.

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