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LedgerX recently revealed a new call option that could help push Bitcoin price to $100k by 2020.
 Hey Bitcoin, When Moon?
Regular Joe Schmoe investors can now place bets on Bitcoin rising to $100,000 thanks to regulated derivatives offered by LedgerX exchange. LedgerX recently revealed the call option and participants are betting that Bitcoin price will top $100k by December 2020. This means Bitcoin would need to pull-off a 10x move from todayâs price and this would also bring the digital assetâs market capitalization to $2 trillion.Â
For the past two years, LedgerX has offered derivatives to its institutional clients and now that the company has gained approval from Commodity Futures Trading Commission (CFTC) it will make the unique call option available to retail investors.Â
Whoâs Gonna Take the Plunge?
Currently, itâs not known how many investors are seriously interested in the product, especially after the serious 25%+ beating Bitcoin has taken over the past two weeks. LedgerX Chief Executive Officer Paul Chou told Bloomberg, âOften what happens is the first trade is the most important, and everybody else watches it.â Chou also mentioned that many of LedgerX institutional customers with accounts ranging from $10 million to $1 billion have inquired about the call option. According to Chou:
âDozens and dozens of these institutions got back to us saying weâd be interested in trading a contract like thisâ and Chou explained that while $100,000 is a large sum, âa lot of us whoâve been in this space remember Bitcoin at $1 and then it hit $10 and $100 and $10,000. A $100,000 contract doesnât even make us blink.â
Institutions Go With the Flow
Interestingly, as more and more institutional and derivatives based products debut, Bitcoin has correctly sharply from a double top at $13,200. A number of analysts are saying todayâs correction was driven purely by technical while others believe that yesterdayâs Senate Banking Committeeâs hearing over Facebookâs Libra project has injected an unwarranted amount of fear into the crypto market.Â
The LedgerX product reveal comes right as other Bitcoin derivatives exchanges like BitMEX and CME are witnessing all-time high volumes as driven by institutional traders. Adding to the excitement, the Intercontinental Exchangeâs Bakkt Bitcoin exchange is scheduled to begin testing Bitcoin futures on July 22
Do you think the LedgerX call option will help Bitcoin price reach $100,000 by 2020? Share your thoughts in the comments below!Â
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Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.