While I’m writing this article, the bitcoin price is crashing, but by the time you read this, it’s entirely possible that it already recovered to some extent. If you didn’t buy the dip, this article is for you.
The Why
GDAX BTCUSD trading volume 18-22 Dec 2017: 236,880 BTC
CME Bitcoin Futures trading volume 18-22 Dec 2017: 6236 = 31,180 BTC
Both the CBOE and the CME launched bitcoin futures during the past two weeks, which have been trading at unsurprisingly low initial volumes. My theory for this particular dip, as I’ve detailed in several previous posts, is that owing to the futures launch, there is no longer any investable allure of “getting in before Wall Street” anymore. However, I’m still bullish on bitcoin long-term. As for the CBOE and CME futures, there’s still plenty of time to get in before the accessibility of these instruments improves. As such, this dip presents an excellent opportunity to engage oneself in what has all but turned into a mantra in the bitcoin trading class of 2017; buy the dip.