- Bitcoin rally to a new all-time high
- CME announces Ethereum futures contracts
- Bitcoin option' trading volume at record highs
This week is very positive overall for the cryptocurrency market. Bitcoin finally crossed the 20’000 USD mark and hit a new all-time high. Altcoins still have a lot of margin to grow in a lot of cases. The capitalization of all digital assets in circulation increased to 650.5 billion, while an average daily trading volume is registered at $237.0 billion. Bitcoin dominance has been recovering from a November low at 61.01. Currently Bitcoin's dominance stands at 65.5% and is on the way to reclaiming the highs at 67.66. The high BTC dominance suggests that altcoins are getting less attention from investors in the market.
Bitcoin crosses $23,000 for the 1st time
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Open account Try demo Download mobile app Download mobile appBitcoin becomes the third-most-popular asset among fund managers surveyed by Bank of America, which shows rising interest in digital assets. Since the beginning of 2020, Bitcoin rose more than 200% and is one of the most profitable assets in the environment of extremely -low interest rates which has not escaped the attention of institutional investors. Ruffer investment company recently joined the growing list of firms diversifying into digital assets. In a memo to its shareholders, the company announced that it will allocate 2.5% of its multi-strategy fund worth about $15 million to purchase Bitcoin.
Bitcoin takes a breather from the two-day rally but still remains above the major $23,000 level. RSI hints at a consolidation, perhaps between $22,400 and the new yearly high at $23,650. However if break higher occurs buyers will likely shift their focus on higher levels towards $24,000 and $25,000, respectively. Source: xStation5
Other Bitcoin-related financial products are also seeing an increase in trading volume. Daily traded volume for Bitcoin options has just surpassed the $1 billion mark for the first time.
Recently Bitcoin options market recorded its highest volatility from November, where it began to close above $500 million. Source: Skew
CME Group is planning to launch Ethereum futures in February
Yesterday Ethereum hit a new yearly high at $673, a level not seen since May 2018 fuelled by Ethereum futures launch on CME and a strong Bitcoin rally. CME, which is the biggest US-based exchange for trading derivative instruments, is planning to launch Ethereum futures in February 2021 to cater to institutional investors' growing interest. Each contract will have 50 units of ether and the derivative product will be open to trade between 5:00 p.m. to 4:00 p.m CT from Sunday to Friday, according to the official announcement. "Building on the success of bitcoin futures and options, CME Group will add ether futures to the cryptocurrency risk-management solutions available to trade in February," the exchange said.
The total number of addresses with a balance surpassed 50 million for the first time in history. It is an optimistic signal as it implies a more robust and growing user base. Source: Intotheblock
Ethereum broke above the $621.00 level on Wednesday and reached the highest levels this year at $671.30. However buyers failed to uphold momentum and price pulled back, however the aforementioned level of $621.00 turned out to be strong support. If buyers manage to break above this year's highs, then another upward impulse toward resistance at $780.00 could be launched. Source: xStation5
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