What are Bitcoin Futures contracts?
Bitcoin price has grown so much and succeeded to capture the mainstream press attention. Just two months ago, the price of the cryptocurrency was stable somewhere between $ 4-5,000 and now Bitcoin bounced from $ 8000 to $ 11,000 in a few days.
What are Bitcoin Futures contracts and why they have influenced bitcoin growth?
Growth is justified by the fact that Bitcoin has had the so-called institutional adoption after two of the world's leading stock market operators, Chicago Mercantile Exchange (CME) and Chicago Options Exchange (CBOE) announced that they will list futures contracts for the cryptocurrency.
An increase of $ 1,000 from one day to the next may be considered somewhat proportionate to the importance of the announcement, especially if we take into account that the bitcoin market is governed by investors' emotions.
Just to make an idea at CME there are already listed on the futures market things like: corn, soy, precious metals, oil, stocks from Standard & Poor index, or NASDAQ.
More recently, the bitcoin will also appear in the list of products and it is attractive to this type of contract precisely because it is extremely volatile and can create a dynamic future market.