Bitcoin futures climb to US$20,300
Bitcoin futures climb to US$20,300: Thereupon BTC price collapse
There have been large fluctuations in the Bitcoin exchange rate when it tried to break through the US$20,000 barrier. New records in futures.
Bitcoin (BTC) futures reached levels of up to US$20,000 on 1 December. The BTC/USD pair caused euphoria with its new all-time high.
TradingView data shows that the Chicago Mercantile Exchange’s Bitcoin Era futures broke through the historic $20,000 mark on Tuesday.
At the time of going to press, the CME BTC futures reached a high of 20,300 US dollars. This was followed by the well-known volatility of the BTC/USD pair, which caused the futures to plunge to 19,000 US dollars in less than ten minutes.
„It is remarkable that 1,000 US dollars is now only 5 percent. So act accordingly,“ says the popular trader CryptoBull on Twitter in response to the flash crash.
Nonetheless, this movement is a significant event for Bitcoin
Today, it has officially surpassed its all-time high of 19,892 US dollars reached almost three years ago.
Since futures are usually slightly higher than the spot price, it was clear that the order books of CME and other providers would be the first to enter this unknown territory. The CME futures actually already made it above the USD 20,000 mark when they came onto the market at around USD 20,700 in December 2017. A new all-time high is therefore still to come.
As Cointelegraph reported, analysts were already very optimistic due to the record-breaking volume and open interest. They are eager to see the level of institutional interest in Bitcoin by the end of 2020.
However, this year was different for Bitcoin than 2017, when the $20,000 on the spot markets coincided with the launch of the first futures.
Due to the volatility over the weekend, there was a huge „gap“ of $1,300 on the futures markets when the new highs were reached. This traditionally indicates that the BTC/USD pair will fall to „fill it“. In this case, the pair could be threatened with a fall to as low as $16,900.