Could this be the answer to Bitcoins volatility?
The price of Bitcoin has been a little dim so far this year, dropping more than 10% with an overall loss of 50% since its January drop. There has also been a lot of negative news about Bitcoin and other cryptos, from hacking, high power consumption and criticism from leaders in the financial services industry.
Not all doom and gloom
But it hasn’t all been doom and gloom. Transaction fees are getting lower, the number of vendors accepting Bitcoin is increasing and regulators are taking steps towards legislating in favour of the market’s growth. One of the best bits of news for the price of Bitcoin so far has been the interest from some of the world’s leading exchanges and trading platforms with at least two big names set to announce they will soon support Bitcoin.
Intercontinental Exchange (ICE) is the parent company of the New York Stock Exchange and they have recently announced they are developing an online platform which will allow them to buy cryptocurrency. Nasdaq has also paired up with a crypto-exchange called Gemini and they plan to launch futures market for cryptocurrencies in the near future. These big names will join Cboe Global Markets and CME Group which have already started issuing crypto futures.
ICE is expected to become the first US-based equities exchange operator to have its own cryptocurrency exchange and Nasdaq are expected to launch theirs in the coming weeks.
CME and Cboe both entered the Bitcoin arena in December of last year when the price of Bitcoin was at an all-time high of $19,000. Whilst the price has dropped considerably since then, Bitcoin and other cryptocurrencies remain a volatile market. It is hoped that the introduction of more big-name exchanges will help the crypto sector to mature and stabilise.