Analyst Claims Bitcoin Suffers From a Lack of Demand, Major Investment Firms Appear to Disagree
As the first ever digital asset, Bitcoin’s value has increased significantly over the course of its lifetime in comparison to Ethereum and other altcoins. However, the coin has stalled in price over the past couple of months, mostly sitting around the $6,500 marker.
This price halt was brought up in a Cracked.Market report by analyst Jane Ziedins. Published on October 2nd, Ziedins claims that “if buyers wanted to buy this dip, they would have jumped in already. The chronic lack of demand at these levels is a concern, and the path of least resistance remains lower.”
However, this analysis may not have as much support as Ziedins would like. On October 3rd, TD Ameritrade, the $30 billion dollar brokerage firm, announced their support for ErisX, a “multi-cryptocurrency futures market” along with Chicago Board Options Exchange (CBOE) and some other Wall Street firms. The exchange will support Bitcoin, Ethereum, Bitcoin Cash, and Litecoin.
Don Wilson, Founder of Chicago-based investment firm DRW, claims that ErisX will “eliminate impediments to institutional adoption to handle the next wave of market participants.”
According to Nulltx, the group of firms believes that there is still “sufficient demand in the market, even after a 69 percent drop in the price of Bitcoin and an 80 percent correction in the crypto market, for regulated and transparent crypto-related platforms.
In defense of their decision and the market overall, JB Mackenzie, Managing Director of Forex and Futures at TD Ameritrade, stated, “We expect we will have customers interested in participating. The digital asset economy has been developing so much over the last nine months and investors are crying for a regulated, transparent platform.”
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