Bitcoin Corrects Ahead of Bakkt
Bitcoin is closing the month just below the $10,000 figure as the market has pulled back from a test of $12,000 early in the month. The drop has been on low volume and BTC has still showing big gains for the year after a gain of almost 300% from December to June.
Mike Novogratz, the billionaire cryptocurrency bull reinforced that outlook by telling Bloomberg TV recently, “Bitcoin started the year at $3,800… and now it’s at $10,200 and so it’s up 200 odd percent already.”
The Galaxy Digital founder also commented on the long-awaited launch date of the Bakkt exchange, which is scheduled for September 23rd. Owned by the parent company of the New York Stock Exchange, Bakkt will bring professional grade privacy and custody solutions to the cryptocurrency world, which has been a key obstacle for big money investors to get involved and could lead to further gains.
“The institutions that are making longer-term decisions are making sure they’ve got custody, making sure their ducks are lined up — and they’re slowly and steadily moving in,” Novogratz said.
Litecoin Shows Altcoin Weakness
The pullback in Bitcoin has seen it down around 30% and this has dragged the overall market lower. Altcoins have been performing worse due to the institutional demand that already exists in BTC and Litecoin is an example with a drop of 50% from the recent highs in June.
Litecoin has not been helped by rumours of weakness in the financials of the developer foundation but founder Charlie Lee has promised to bankroll any shortfall until the company can monetize partnerships and find new donations. One partnership signed in July was a tie-up with NFL club the Miami Dolphins, who have announced that Litecoin will be their “official cryptocurrency” in a deal that starts next month for the new season. It is likely that other sports teams will follow suit and adopt a cryptocurrency of their own.
Bitcoin is still the dominant coin in the cryptocurrency market and the last two months have seen a correction of the years’ big gains which has pulled the overall market lower. The arrival of the Bakkt exchange in September could be a game-changer and is worth looking out for in the days around the launch date.
Disclaimer: information contained herein is provided without considering your personal circumstances, therefore should not be construed as financial advice, investment recommendation or an offer of, or solicitation for, any transactions in cryptocurrencies.