More

    Binance's Latest Research Says The Failing Cryptocurrency Market is All Bakkt’s Fault

    Needless to say, September was not a good month for the cryptocurrency industry. Though the launch of Bitcoin futures contracts with Bakkt should’ve been a celebratory moment, it was nothing more than an addition to the trouble that the industry is now facing. Binance Research believes that the cause of these issues during the month is the direct result of actions taken by Bakkt.

    • CEO of Bakkt believes that the launch of the futures contract was meant to be a “milestone for the industry.”
    • Bitcoin dropped down to the $8,000 price level during the month of September.

    The cryptocurrency industry isn’t doing well for the month of September, and everyone wants to know why. Binance Research has been investigating the potential cause of this destruction, leading them to believe that the drop started with the failure of Bakkt’s launch.

    On September 23rd, the cryptocurrency industry was interrupted by the beginning of trading for the Bakkt Bitcoin futures contracts. Many analysts and proponents had hoped that this would be a major moment for the cryptocurrency market, but nothing could be further from the truth. With hopes of bringing in institutional investors into the market, many consumers believed that there would be an influx of funding for the many crypto assets on the market as well.

    Bakkt was set to be a “milestone for the industry,” as Bakkt CEO Kelly Loeffler described the launch. She added,

    “As institutions enter this emerging asset class, they will continue to look to secure infrastructure and the regulatory certainty that it provides. Importantly, these futures contracts now serve as benchmarks established by a trusted price discovery process upon which investors can rely.”

    However, there are strategists with JPMorgan that argue a much different path. Instead, they state that that flop of Bakkt correlates directly with “the steep cryptocurrency market crash.” The Binance Research report links Bakkt to the drop in Bitcoin’s price, which has dropped by over 6% in the last 24 hours and is hanging around the $8,000 price level.

    The report states that the “general indifference” felt by investors over the hyped up Bakkt release could be the culprit of Bitcoin’s losses. Furthermore, within about a day of the commencement of trading with Bakkt, Bitcoin’s price fell by over $1,000. The report continued,

    “Short-term wise though, Bakkt’s disappointing start seems to have been a contributing factor to the recent price decline.”

    Still, these developments haven’t made the Binance Research team feel pessimistic or worried. Instead, the team believes that the cryptocurrency industry has seen better days, and it will see those days again. Researchers commented that October will be “exciting,” as the public waits to see how rising gas prices for Ethereum are impacted and if Telegram will officially launch their Open Network.

    The September 2019 market overview report by Binance Research was recently released, focusing on the uneventful cryptocurrency industry that has lasted throughout September. It also notes the fall that the market experienced on September 24th. In total, for the whole month, the total valuation remained below $300 billion. In fact, according to reports from TradingView, the total market cap for all cryptocurrencies is just $213 billion right now.

    The report sheds light on two derivatives platforms that were launched in September by Binance, Binance recently announced their acquisition of a trading platform called JEX on September 2nd, which allows for trading of Bitcoin futures and Crypto options. Within 11 days, Binance Futures was launched. CME Group is planning to launch their Bitcoin futures by the start of 2020.

    Get Free Email Updates!

    *Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

    I will never give away, trade or sell your email address. You can unsubscribe at any time.

    Avatar
    Krystle M
    Krystle is an American cryptocurrency blogger that wants to see the future of crypto and blockchain technology evolve. She has been writing about cryptocurrency for about a year, with a special interest in blockchain technology and regulatory measures around the world. While away from writing and learning about the changes in the cryptocurrency industry, she likes to indulge in science fiction novels and further her experience in playing both guitar and piano.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    3,262FansLike
    2,712FollowersFollow
    4,095FollowersFollow

    Live Bitcoin Price & Latest BTC Chart News

    Today's Latest Crypto News

    APRA Proposes Regulatory Framework For Facebook Led Calibra And Libra To Senate

    One of Australia’s financial watchdog agencies, the Australian Prudential Regulation Authority (APRA), could soon regulate stablecoin projects such as the controversial Facebook’s led Libra...

    Despite Swiss Regulators Saying Libra ‘Has Failed' They Might Still Be Open To Its Launch

    The Swiss government is spooked by concerns on the sustainability of FaceBook's Libra as a global currency. This adds to regulatory concerns raised by...

    Ripple, Coinbase Invested Bitso Is Hiring A Country Manager For Its Brazil Expansion

    The Mexican crypto exchange is hiring for its expansion into the Brazilian market The new position has to “create, iterate and scale crypto-powered...

    Reserve Bank of India: Crypto's Not Banned, But Ringfenced Regulated Entities Due to Risks

    In response to a petition filed by the IAMAI over RBI’s decision to not allow regulated entities like banks to deal in cryptos,...

    Crypto Bulls Definitely on Parade, Bitcoin Is Attracting ‘Very Substantial Buying Power'

    After 2019’s choppy recovery, the crypto market is now “launching what could be a far more sustainable bull market” Mid-cap cryptos showing more...

    Ripple Price Analysis: Can XRP/USD Buyers Keep The Uptrend Going?

    Ripple price is trading nicely above the $0.2300 and $0.2335 support levels. XRP to USD is likely to surge again if it clears the...

    BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.