Bitcoin fell below $50,000 amid record outflows from cryptocurrency exchanges
On March 25, bitcoin experienced a strong downward correction when it momentarily went below the $50,000 mark, but in early March 26 it recouped some of its losses and ended up at $52,000 and it’s record outflows from cryptocurrency exchanges.
Curiously, the decline in bitcoin price occurred against the background of a factor that argues in favor of further growth in the value of the cryptocurrency number one. We are talking about the fact that the day before, on March 24, there was a record outflow of bitcoins from cryptocurrency exchanges since November 1, 2019. We are talking about a net amount of 29.824 BTC, or about $1.5 billion, which is how much money investors placed in the No. 1 cryptocurrency overnight and chose to keep it as an asset with a long planning horizon.
In addition to this positive sign for bitcoin, there has been interest in the cryptocurrency from various financial market participants. For example, Ed Tilley, head of Chicago’s CBOE stock exchange said that his organization has not abandoned bitcoin futures trading forever. Recall that after the CBOE and their counterparts at another Chicago stock exchange, CME Group, began trading bitcoin futures in December 2017, the CBOE decided two years ago to abandon such financial instruments.
Now, however, the CBOE is sending a signal that it is considering resuming bitcoin futures trading. In addition, the CBOE is supporting a bid by New York-based investment firm VanEck to the SEC to launch exchange-traded funds (ETFs) for bitcoins.
The bitcoin market remains generally optimistic, with a recent survey showing that only 16.1% of the 48,198 thousand who participated in the survey believe that bitcoin will remain below the $100,000 level until December 2021.
