Inversely to how bitcoin performed after the announcement of futures, ethereum investors saw a small spike in price this past week. Being that we have already established a bottom for bitcoin, it seems investors are betting we are headed in a more positive direction for Bitcoin with the upcoming Bakkt Exchange pumping new institutional investors into the space.

 

As of writing this, bitcoin is currently trading at 7,025 and in a tight range at the end of a triangular pattern. This suggests a move in direction is imminent, and more people are realizing that direction is up.

Another possibility for the spike in ETH price is that the futures will lock in the dominance rate ETH holds over other cryptocurrencies by allowing investors to hedge against the price with fiat in futures contracts. This is positive in this case because many altcoins have been performing worse then bitcoin in the wake of the big crash and so futures contracts will act as an anchor for etherium.

 

The Bakkt Exchange, not only adding more wall street exposure, will also act as a major positive news buff for bitcoin. In my previous article, I explain how the August futures ending marks a shift in the bear market, into a new bullrun. All three factors combined creates a perfect storm for bitcoin to flourish this September going into the end of the year.

The exchange will allow for people who wish to invest their 401K in bitcoin to carry out their dreams to financial success. There is already an OTC stock named GBTC investors could buy with their broker 401k account, however it is run by a private company Greyscale. The Bakkt Exchange is backed by wall street frontrunners and is receiving much more publicity and interest then the investment trust. This suggests any market share of investors GBTC missed, Bakkt will sweep up, proving a surge in price is inevitable.

 

Many bears on crypto can’t help themselves when they see us trading in this tight range around 7,000 and they think “ imaging longing the top of the ponzi?” This is just wrong because a bottom is in, and the resistance at 7,000 was wall street keeping the price down before the futures close. That resistance is now becoming support, and the more bears that smarten up and realize that, the less short squeeze you will suffer. This is a double barrel shotgun in the face of bears, and there’s no where to run.

I am/we are Long GBTC/BTC/ETH, please contact your fiduciary before making any financial decisions, this is not financial advice.