Bitcoin today hit new all time highs. trading as high as £4800 ($6375 USD)! The decentralised cryptocurrency has been climbing rapidly in recent months. The price has increased more than 100% in just over 1 month since 14th September 2017. (Written 31st October 2017)!
£10,000 invested just 41 days ago, would now be worth £20,000!
That is a pretty tremendous return on investment!
October has been a very good month for Bitcoin all around, but CME have ensured the month ends on a high!
Finally, Bitcoin is making the headlines for the right reasons!
The digital currency has been though it’s fair share of ups and downs, trading as possibly one of the most volatile investment opportunities in the history of the planet over the years. Created in 2009 it has hit the headlines time after time, but more often than not, for all the wrong reasons.
There was the 2013 ‘crash’ after the MtGox exchange exit scam, from which it has clearly now recovered. The price fell from $540 to $220.29, causing widespread panic, but looking back it’s a mere insignificant blip on the chart.
The Chinese Bitcoin exchange ban just last month in September 2017 was another minor bump in the road, causing a slight correction, but seeing the price otherwise stay strong and continue rising high.
Now with the CME announcement, the price looks set to rise even higher going forward into November. CME haven’t announced an exact date for the release of the futures just yet, but they have confirmed that it will be ready by the end of 2017.
“Given increasing client interest in the evolving cryptocurrency markets, we have decided to introduce a bitcoin futures contract. As the world’s largest regulated FX marketplace, CME Group is the natural home for this new vehicle that will provide investors with transparency, price discovery and risk transfer capabilities.” – Terry Duffy, CME CEO & Chairman
Who are CME group
Chicago Mercantile Exchange (CME) are an American Financial and commodity derivative exchange.
Founded 1898, CME Is the largest financial futures market operator. They were originally a non profit organisation, until they demutualised in November 2000 and went public in 2002. They are now “where the world comes to manage risk” as their website states. The CME Group Inc. is a combination of four exchanges; CME, CBOT, NYMEX and COMEX offering the largest selection of financial instruments across a diverse range of asset classes. Businesses commonly use futures contracts to mitigate risk against uncertainty, price fluctuations etc. This would be no different in the case of Bitcoin.
What is a commodity derivative