Weekend Coverage Is the day expected to have a Bitcoin storm?

in #bitcoin7 years ago

Hello everyone,
The week before us was surprisingly quiet, but today there is a chance that the stability wall will crumble. But do not worry there's good news at the end of the tunnel.

So today we will talk about options futures in Chicago and how they can affect the Crypto market today and when, we will add an update for a trading company that enters the Crypto market and intends to give Fite to Quinbys and we will finish the currency rankings published recently.

So before we start the news, a brief and general explanation of what a future contract is. A futures contract is a contract that is created at a certain point in time and guarantees future sale of a product / value, or in our case, liquidation at the market price at the time the contract was created.

For example, I have a note worth NIS 10 on Sunday, and on that day I create a future contract in which I promise to sell Bitcoin to Gadi on Tuesday for NIS 10. Therefore, if the Bitumen value increased significantly to NIS 100 on Tuesday, Gadi earned NIS 90 because I promised to sell him Bitcoin on Tuesday for NIS 10. If the value drops to one shekel, I earn because Gadi is obligated to buy Bitcoin for me at NIS 10 even though the current value of Bitcoin is NIS 1.
It's a bit complicated, but even if you do not get it, keep reading.

On December 11, the CBEO (Chicago Board option exchange) created the first futures contract for trading in Bitcoin. The value of the coating was around $ 17,000 when the contract was created.
Now here it begins to be interesting, the contract realization date is 17.1.18
In other words, on 17 January the parties that created the contract make the promised sale and purchase. Therefore, the buyer wants the value of the Bitquin to be greater than $ 17,000 and the seller wants the value of the Bitquin to be as low as possible (on the date of the exercise of the contract).
January 17 is the same day that the market has fallen by nearly tens of percentage points as a result of South Korean statements. If we look at the graph we can see that the fall began on 17 January in a destructive way and ended at 18:00 pm Israel time after which began a significant increase of the market.
Do you know at what time the contract expired on November 17? At exactly 18:00 Israel time, coincidence? Maybe.

We understand why the seller would want the Bitcoin value to be low when the contract expires but how can it affect it?
What is being done is that whales with a large amount of Bitcoin who signed the futures contract can sell a large quantity of Bitcoin a few hours before the contract expires and thus cause the downfall and earn a lot of money from the process. Immediately after the expiration of the futures contracts to buy back the Bitonon they sold and to surf the waves of recovery of the market.

All I say is purely theoretical / conspiratorial but on January 26, yes today, this is the date of the last CBEO contract, which was created on 18 December. Therefore there is a chance that we will see today a decline in market prices that will end at 18:00 Israel time. Am I sure? Definately not. But if there is a drop in prices, it must be taken into account that there is a high probability that at 18:00 the recovery will come.

On another subject, there is also good news, the Robin Hood Trading Company, announced that it would make entrance into the Crypto world. This news predicts a bright future for the Crypto market since the company allows for no-fee trading! Yes .. Yes .. 0% Commission. The company will add the first 100 coins in the rating of the Coin market cap gradually.

Another rating that might be of interest to the crypto enthusiasts went out this week to the network that the US investment company Weiss published a rating of 74 coins, of which only 5 received the highest "B" score on the list.

The five coins that received the B score are Etherium, Cardano, NEO, Steem It and EOS
In contrast, Bitcoin received C + and Wringle received C. After ranking a lot of anger was directed at Weiss. Since many experts argue that the reasons for the ratings provided by Weiss do not provide. The biggest winner of this rating is Daniel Larimer, one of the founders of EOS, who is also the founder of SteemIt, making him the founder of two of the top five companies in the rankings.

You can see that there is a lot of impact on our market from future contracts to financial ratings across the network. But even among all the news and secrets that emerge, one can see that other trading companies are betting on this market and understand its potential. There are still lots of question marks that hover over digital coins and are not sure we will see answers in the next few days or weeks but as time passes you can see the fog scatter and everything slowly becomes clear.

Have an amazing weekend for everyone.

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