Loading ...The difference between BTC and other ‘controlled commodities’ is that BTC is not on any one regulated exchange. It is worldwide peer-to-peer trading. They can make a ‘futures’ market on it, but the ‘futures’ will be led around by the fundamental BTC… not the other way around like they do with gold and other commodities on regulated exchanges. A BTC ‘futures’ contract cannot affect the fundamental Bitcoin (cash) market. Arbitrage is difficult here.
There was a story I read yesterday on ZH about a large investor who spent a fortune on BTC when it dived to it’s recent low. He paid cash for a large amount of BTC, and that was the major reason the price rose back into the $6k region. That is the ONLY way to affect the fundamental price of BTC…. it’s a CASH market, unregulated. BTC fundamental could care less what a ‘futures’ contract is trading at….. the futures are a side bet by someone else. The paper futures market may divert some funds that would otherwise go into BTC.