Bitcoin Has Failed To Hold The $10,000 Level, Even With Bakkt Launch

Bakkt has gone live with its first trades this Monday, but the most dominant cryptocurrency Bitcoin has failed to hold the $10,000 level and went under it. As the latest cryptocurrency news show, Bitcoin briefly topped out over $10,000 but did not manage to hold the level as the Asian trading session started.

The Bakkt daily and monthly settled Bitcoin futures contracts went live for trading a few hours ago. There was no big fanfare or market reaction. The truth is, Bakkt’s launch was relatively slow and the first trade was executed at just past 8pm ET for $10,115.

We’re live!

The first Bakkt Bitcoin Futures trade was executed at 8:02pm ET at a price of $10,115

— Bakkt (@Bakkt) September 23, 2019

A couple of BTC were traded later on. Until six hours ago, only 8 Bitcoin (BTC) had been traded. Analysts are now wondering if this is the reason why Bitcoin has failed to hold the $10,000 margin and fell as a result of overconfidence seen earlier.

At the same time, other analysts featured on many best cryptocurrency news sites show that this could be seen as a positive development since it is around one BTC per hour. If continued at this rate, this could be a monumental amount traded over the month.

On top of this, traders and analysts pointed out how important Bakkt is being physically delivered as opposed to other contracts which are settled in fiat.

“Reminder, the hype is bakkt with substance. Unlike other futures exchanges, this is settled in bitcoin. Actual bitcoin is paid out, not just the fiat equivalent to the price of bitcoin. The result is better price discovery and liquidity for bitcoin.”

https://twitter.com/Rhythmtrader/status/1175932592379650048

It is still too early to tell the reason why Bitcoin has failed to hold its $10k levels – and it is still too early to tell whether the predictions from above hold value. No one knows if the Bitcoin and altcoin news later today will show new greens – and institutional investors right now probably don’t want to hold the physical Bitcoin for fear of its volatility.

According to the trader ‘Cantering Clark’:

“BAKKT is essentially recycled liquidity quoted from retail venues. This is the opposite of the normal liquidity profiles of traditional markets. Now ask yourself, why would $BTC price have jumped upon BAKKT opening? Those interested are likely already involved.”

At the time of writing, Bitcoin is very shy of $10,000 and is trading at around $9,990.