Halving Is Crucial For The Effect Of CME Futures Options On BTC Price

The latest cryptocurrencies news showed that on January 14th, CME Group launched new Bitcoin options in a decision which was revealed by the company’s global head of equity products, Tim McCourt. Right now, many think that the BTC halving is crucial for the introduction of crypto options and may lift the institutional infrastructure that supports the asset class.

In the long run, we can see that many investors anticipate improvements in the infrastructure surrounding Bitcoin (BTC) as ones which would have a positive impact on the crypto market. One of them is the technical analyst Eric Thies who spoke to the media and said that halving is crucial at this point.

Thies also noted that the CME options will bring in more stability in the market in the long run. Therefore, the accredited and institutional investors will also have a diverse selection of vehicles to use and enter into the cryptocurrency market. This variety will strengthen the foundation that would take cryptocurrencies from an asset class that is emerging to one that is fully established.

“I’m optimistic it’s bullish for longer-term stability and that it also signals something more significant once you compound it with several other events around the market,” Thies said in the Bitcoin price news.

Up until mid-2019, we saw that hedge funds and institutional investors did not have sufficient infrastructure to invest in Bitcoin as well as other crypto assets. Trusted custodians like Coinbase and Xapo operated with independent custodial services but besides this, services like Bakkt were non-existent.

Halving is crucial at this point and may open up a lot of things in this industry. In the long term, Thies is confident that the availability of CME options will synergize with the progress of other key players in the industry, in the likes of the United States-based exchange Gemini.

He also explained that such developments are now building up baseline assurances that any hedge fund would need before joining what many know as the volatile space, adding:

“Institutions being handed a key to an on ramping BTC during a halving year sure seems like a good recipe for fireworks for the year or so after the actual event.”