CME will lead the institutional acceptance of Bitcoin future OI as ‘real facts’.
Bitcoin (BTC) will face a “stream” of institutional inflows following the approval of a US exchange-traded fund (ETF).
Dan Tapiro, founder and CEO of 10T Holdings, has joined the bulls who see a sea change in institutional Bitcoin adoption.
Tapiro: Mass Capital says Bitcoin is “about to hit.”
As excitement over the potential future of the US BTC spot price ETF grows, BTC's price action has responded in kind.
As BTC/USD hit an 18-month high, meanwhile, the institutional tide is already showing signs of turning. Open interest in the CME Group's Bitcoin futures markets — the most prominent institutional spot for BTC derivatives — surpassed Binance's for the first time this week.
For Tapiero, this is a watershed moment.
“Now begins a renewed drumbeat of Bitcoin ‘institutional adoption',” he announced on November 10.
“Real facts drive ideas now rather than hope. According to CME btc future open demand surpasses Binance in #1 position. Capital from the traditional world is about to hit.”
Cumulative Bitcoin futures open interest surpassed $17 billion on November 9, marking seven-month highs. At the time of writing, that figure is a shade less than $15.5 billion, according to data compiled by CoinGlass.
Optimism over ETF approval, which is slated for early 2024 but some argue could come as soon as this month, is widely shared.
In its latest market update published on November 10, trading firm QCP Capital described the Ether (ETH) Potential Placement ETF as a crypto market booster on the move.
“While we expect spot BTC ETF approval to be delayed until January 2024, the new narrative surrounding the ETH ETF should be enough fuel to recapture the crypto's prices as the year ends,” he wrote.
Bitcoin daily RSI signals call for “caution”.
In a broader bullish landscape, however, QCP cautioned that a series of lows in Bitcoin's daily Relative Strength Index (RSI) values indicates a cooling off from subsequent highs.
RELATED: BTC Price Drops, Targets $40K As Bitcoin Puzzles Traders
“As the macro picture is now changing a bit in the short term, with expectations of a rate break strong, we expect crypto prices to be supported. Dips will buy quickly as FOMO traders try to get on the train,” he concluded.
However, caution is still needed as we are at a critical resistance level, and BTC is printing a triple bear divergence with the RSI which is a safe sign for a bullish stop.
BTC/USD was trading around $36,500 at the time of writing, according to data from Cointelegraph Markets Pro and TradingView. ETH/USD rose over 4% on the day, crossing the $2,000 mark.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
