Falling Bitcoin Futures Volumes — Where Is Bakkt Moving?

Libra Coin News
Mon, 10/07/2019 - 13:25
Denis Sinyavskiy
Since its launch, Bakkt didn't show expected results. Last 4 days the amount of Bitcoin futures didn't exceed 50 contracts — everything is that bad?
Cover image via www.123rf.com

Two weeks after the launch, Bakkt never showed an increase in trading volume, and the last 4 days the number of contracts does not exceed 50 units, as evidenced by the tweet on the official page.

Big hopes

At the end of September, the crypto community expected positive market events related to the launch of a platform for trading Bitcoin futures with physical delivery. Bakkt was supposed to give institutional investors access to the cryptocurrency market, with which big money was expected to come.

However, after the launch of the platform, the BTC price not only didn’t rise but fell to around $8000. According to Binance market research, Bakkt played a direct role in the fall, but the company itself didn’t deny this by posting the following tweet:

Still nothing clear?

Since the start of trading bitcoin futures, 2 weeks have passed, and the expected volumes of trading have not appeared. Moreover, over the past 4 days, volumes have not exceeded 50 contracts per day, which is almost 3 times less than before. Is it possible to say that Bakkt is moving nowhere?

A detailed report by Oppenheimer suggests that Bakkt will show himself in the long run, and society should be patient:

bitcoin futures are still nascent and form only a small fraction of exchanges' ADV, therefore, we recommend investors shouldn't get too upset, or excited, about the current trading volume and developments yet,

Also, the report states the following about the platform itself:

well-positioned to become a market leader in the digitization of the fixed income, mortgage and crypto markets.

Despite the positive with which Bakkt launch was awaited, and the negative that hit the platform after, the situation remains unclear. However we think, it’s definitely not the end.

What do you think about Bakkt’s future? Share your thoughts by leaving comments down below.

About the author

Starting with a simple interest in cryptocurrency, over the past two years, Denis has worked in a cryptocurrency fund and become an author with an analytical bias. His engineering degree helps with the analysis of the technical part of the cryptocurrency market. As a fan of cryptocurrency, Denis believes that the blockchain technology is the future.