• Press Releases
    • Submit a press release
    • Read All
  • Advertise
  • Contact us
Crypto.com Logo Crypto.com Logo
Bitcoinist.com
No Result
View All Result
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Press releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
    • Monero Price
    • MimbleWimbleCoin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Btcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Play Games
  • BET&WIN
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Press releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
    • Monero Price
    • MimbleWimbleCoin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Btcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Play Games
  • BET&WIN
Bitcoinist.com
No Result
View All Result
Investors Enthusiastic About Bitcoin Futures – What’s the Downstream Impact on Cryptocurrency Markets?
Nexo

Investors Enthusiastic About Bitcoin Futures – What’s the Downstream Impact on Cryptocurrency Markets?

Bitcoinist by Bitcoinist
5 years ago
in Press releases
0
Advertisement

Early investors showed a bullish position on Bitcoin futures, which just started trading on the CBOE. In the first day of trading, January Bitcoin futures edged up to about $2,100 above the day’s spot price to a settlement near $18,500. Prices for March futures are even higher, demonstrating a high level of investor confidence in ongoing increases in Bitcoin’s value.


The early success of the futures launch is good news for anyone who currently has Bitcoin in their wallets, as all signs point to a positive outlook for the asset. However, financial analysts are less clear on how Bitcoin’s high valuation will affect other coins downstream in the virtual currency market.

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

Impact on Valuation of Alternative Virtual Currencies

Bitcoin serves much of the same global market as all other virtual currencies, and investors have speculated on how movements in the price of Bitcoin affect the value of other cryptocurrencies. Many alternative virtual currencies are traded against Bitcoin on an arbitrage basis. So, for example, a Bitcoin holder can take advantage of temporarily favorable exchange rates and trade her Bitcoin for alternative cryptocurrencies, and a bump in the price of Bitcoin may cause investors to increase trading volume in other coins.

Alternatively, increase in Bitcoin price may cause the hash rate of other virtual currencies to fall, decreasing their transaction verification efficiency and lowering their value. This occurs because miners can be expected to switch from one coin to another based on their anticipated return, so as Bitcoin becomes more valuable, more and more miners may be committing their computing power to the market-leading cryptocurrency.

Can Virtual Currency Replace Cash?

Investors still warn of the Bitcoin bubble, with many financial analysts projecting that the virtual currency will collapse at any moment. However, the positive outlook on Bitcoin futures demonstrates a high degree of confidence in the asset’s ongoing value.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!

More and more retailers are taking advantage of virtual currencies in their online and brick-and-mortar establishments, as the low transaction fees made possible by blockchain transaction verification can potentially save businesses billions. The incentives to adopt virtual currency as a replacement to cash are there, but the question remains as to whether digital coins will be able to rise to meet their full potential in traditional financial markets.

Virtual Currency Markets Need Greater Certainty

Despite increasing legitimacy and adoption by traditional financial institutions, cryptocurrency markets remain a bit of a mystery to many serious investors. Only time will tell which coins will win and which will lose in the new market, and whether consolidation will make the entire question moot in the near future. However, just about any investor would agree that the market would benefit from better stabilization, transparency, and certainty.

Fortunately – when it comes to the free market – where there’s a will, there’s a way.

Enterprising virtual currency businesses are already developing ways to help stabilize prices and increase certainty in virtual currency markets. The Stamps platform has created a safe and transparent way for companies to raise capital through alternative coin launches. Using the Stamps platform, a company can retain a portion of its initial offering while the rest is allocated to platform users.

Once market demand for the coin has stabilized, the business can liquidate some or all some of their retained coins. If the coin doesn’t find its place in the market, the equity is returned to the issuer and does not impact the overall market. As a result, Stamps has provided a new platform for the introduction of virtual currencies in a manner that creates a much-needed degree of certainty in cryptocurrency markets.

For more information about the Stamps platform, please visit the company website and download the project white paper.


Images courtesy of Stamps

ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.
Bitcoinist

Bitcoinist

Bitcoinist is the ultimate news and review site for the crypto currency community!

Related Posts

LBank Exchange Will List IX Token (IXT) on July 7, 2022

LBank Exchange Will List IX Token (IXT) on July 7, 2022

16 hours ago
Tron (TRX), Shiba Inu (SHIB) and Big Eyes (BIG) – Are Three Cryptos To Put On Your Watchlist

Tron (TRX), Shiba Inu (SHIB) and Big Eyes (BIG) – Are Three Cryptos To Put On Your Watchlist

16 hours ago
Was Dan Peña Right That Bitcoin (BTC) Is Dead? Small, Quality Projects Like Gnox (GNOX) Look To Be New Crypto VC Haven

Was Dan Peña Right That Bitcoin (BTC) Is Dead? Small, Quality Projects Like Gnox (GNOX) Look To Be New Crypto VC Haven

24 hours ago
LBank Weekly Listing Report, 4th July 2022

LBank Weekly Listing Report, 4th July 2022

1 day ago
Chimeras Launches Open Alpha Version of Metaverse Game

Chimeras Launches Open Alpha Version of Metaverse Game

2 days ago
With Over 60% Gains, There’s Plenty Left To Run For Gnox (GNOX). Will New Regulation Spell The End For Dai (DAI) And TrueUSD (TUSD)?

With Over 60% Gains, There’s Plenty Left To Run For Gnox (GNOX). Will New Regulation Spell The End For Dai (DAI) And TrueUSD (TUSD)?

2 days ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS
  • NAGA

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

Pages

  • Contact us
  • Editorial Policy
  • Advertise
  • Crypto Prices from Nomics
© 2022 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Press releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
    • Monero Price
    • MimbleWimbleCoin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Btcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Play Games
  • BET&WIN

© 2021 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.