CME Bitcoin Futures Receive Muted Welcome in Market Debut

Bitcoin futures got a lukewarm reception following their debut on CME Group on Sunday, posting a decline while volumes in the tens of millions of dollar in the first 12 hours of trading.

The launch of the futures by the biggest derivatives exchange operator and its main rival, Cboe Global Markets a week prior, had been marked by many as the time bitcoin has been accepted as a mainstream investment. This view helped drive up the bitcoin higher than before in recent weeks. The cryptocurrency is poised for its biggest monthly gains in over four years, after its price increased by twofold since the start of December, when it stood at less than $10, 000.

Despite the hype surrounding bitcoin, trading volumes in CME and Cboe futures have so far been moderate.

A total of 751 contracts had been traded on CME's January futures contracts. CME bitcoin futures set to expire on January settled at $19, 100 on Monday, 2.1 percent lower than the level the exchange had set the opening price before the launch of the futures on Sunday evening.

Initially, the January contract climbed as high as $20, 650, before sliding to $18, 345 within several hours of trading. Bitcoin sold off following the futures launch and traded at $18, 722.65 late Monday afternoon, CoinDesk said.

News are provided by InstaForex