The trading volume at Bakkt Bitcoin options came to a complete halt as the Intercontinental Exchange’s (ICE) platform saw its last trade 11 days ago according to the newest reports. Options trading commenced on the 9 December last year, nearly a month before the CME Group launched its own Bitcoin options.
As a reminder, ICE launched Bakkt on Sep 23. After realizing a clear lack of volume from institutional investors, Bitcoin traders turned bearish and shorted the market. After only a couple of days, Bitcoin plunged from $10,000 to $8,000, a price range that continued for a long time.
While the exchange’s volume did reach notable levels over time, it did not manage to reassure investors who previously held high hopes and expectations for the platform.
As a reminder, options in investing represent a financial instrument in the form of derivatives based on the value of securities such as stocks. When creating a contract, the investor can choose to either buy or sell and in contrast to futures contracts, he is not forced to buy or sell the contracts within a specific timeframe.
Despite the lack of trading, ICE representatives assure investors that Bakkt will continue seeing ‘strong’ interest for both its futures and options Bitcoin products. For the Block, a representative stated:
“We continue to see strong interest in our growing base of customers in our bitcoin futures and options complex, which offers a broad range of choices for interacting with and hedging positions in digital assets.”
More Bitcoin trading volume paves way for $10k
While there is no trading going on at Bakkt Bitcoin options, the traditional cryptocurrency market deals with high volume trading moment as a decisive moment is to be made for Bitcoin. The asset managed to bounce from $8,200 and break resistance at $9,000 and go beyond. At the time of writing, Bitcoin struggles to break resistance at $9,400 and is expected to dump and consolidate before reaching older highs.