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Bitcoin mass adoption to the $trillions, Banks opening trading desks,

As I long expected, the Bitcoin market is exploding with instutional demands. OTC desks have reported to have demand from wealth funds and banks have started opening crypto-currency trading desks meaning they will start to provide liquidity to the market.

This tells me that there's a very good chance that there have been huge OTC deals made with institutional players and that soon exchanges will show this in price. Currently the Bitcoin market cap sits around 1-200 billion and it is my belief that this is too low for the type of capital flow coming from the traditional financial world.

I believe once we have priced in this adoption phase and we are trading in the trillions, Bitcoin will be a protective asset like Gold and it will takeover it's function as such. If you know anything about the Gold market you know there's a high correlation with foreign exchange pairs and that it has a very important role in how capital flows and is protected in times of uncertainty. A good…
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CBOE launches Bitcoin futures, with volume!

As announced by the CBOE on the 10th their platform launched a Bitcoin futures market, by this move they beat CME and this showed as they instantly had volume.

This means the coming weeks gonna be important to watch in the Bitcoin market, the question is if large coin holders are looking to hedge down or that players looking to short the top of the bear market are coming in to cause at least a short term squeeze which could put us again at new highs.

What ever is gonna happen the days between now and the end of the year are definitely to be watched for opportunity for the speculator, this also counts for other cryptocurrencies like Ethereum and a lot of the altcoins that have been steady accumulating.

Bitcoin to $10,000 while Hedge Funds Flow In

Bitcoin reached prices close to $10,000 in anticipation of more regulated derivative product launches like the CME, the influx of institutional capital is at an all time high and OTC dealers should be running dry.

Now where will this rally end? $10,000 has been a heavy promoted number by the larger players, usually this means their distribution is around those prices and possibly calling the target makes them credible in the future.

At some point it becomes irrational to have any expectations of significant increases, smarter money will pull buy orders and the selling cascade that follows will initiate a full crash, till we see some clear reversal signals though the trend is still up. I think the public promotion of the $10,000 number though will have down pressure on the price, this will create all the more momentum.

The Mistakes Most Traders & Investors Make

Trading and investing is a probabilities game kinda like poker, it is the art of finding and timing the next opportunity and putting the odds in your favor. It is no surprise that a lot of gambling and trading rules are the same and for good reason.

Predicting a market is hard, the lower your trading time-frame is the higher the risk of quick draw-downs. Mistakes can come in any form, it can simply be not paying attention, pressing the wrong button or just simply making the wrong judgement.

The first mistake is not limiting your size per position, leaving a large part or all of your capital exposed to a single price prediction that could end up against you for some of the reasons stated earlier. A simple question to ask yourself is, do you expect yourself to be accurate 100% of the time and I doubt there is any trader that will answer yes, so diversifying across at least a few uncorrelated positions high and low risk should be a fundamental part of your strategy. This can include a 30…

Will the Bitcoin price peak above $10.000?

Bitcoin is in it's final parabolic phase, if you know basic hype cycles and how VC's pump and dump their assets you know the final phase is the fastest and can end at irrational heights. Several Venture Capitalists have called for a price of $10.000 per Bitcoin towards 2018, with an all time high of $7.900 it already came pretty close to fulfilling that.

With the CME announcing futures it added extra institutional fuel to the rally, what happens because of the hype a lot of traders and investors come looking to get rich so smarter traders will profit off these swings and combine this with media campaigns. They usually have the big connections to the relevant news outlets as they are big funds with a lot of capital available for these kind of things.

Currently the price bounced on a lot of volume around $5.500 and it is currently testing the upper band of the current higher timeframe consolidation range. Breaking the previous high is still very possible considering the momentu…

Bitcoin Derivatives, CME Futures & Crypto as a Financial Instrument

CME just announced they are going to launch futures contracts for Bitcoin due to strong demand. CME is the largest exchange and this is a big step towards maturity of the Bitcoin market, most likely a lot of liquidity will flow into the futures and some large hedge players are going to make use of Bitcoin as a trading instrument.

Bitcoin can send money directly from person to person across borders and digitally, also you can store your money anywhere, paper or digitally making it the perfect store for money/wealth and the perfect transfer due to it's decentralized protocol and incentive for users to secure the network.

Larger players in the financial markets recognize this too and are always looking for ways to diversify their portfolio, cryptocurrencies are a new asset class and are a great hedge against traditional fiat money. Right now platforms like LedgerX and CME allow for institutions to easily access the Bitcoin market without all the hassle that comes with using the netw…

Trader Psychology and the Analysis of Behavior in Financial Markets

Markets are influenced by the speculative behavior of the people that are active in them. For a long time fundamental and technical traders debated what really provided the edge in this battlefield. Recently though there has been a shift in the perception of it's reality, the fields that cover this: behavioral finance & economics.

Deciding whether to risk ones money based on information with only the promise of a possible return easily triggers an emotional response and even though our outside brain cortex has given us the power to high cognitive function, science actively seeks out contrary opinions to prevent our observations becoming biased.

Analyzing a market works in a similar way, you make an observation which can be anything from a sideways market setting up, to a trend in progress. This observation gives you a signal of opportunity and the decision making process begins.

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