Bitcoin Surges 5.5% to Above $8550 Following Launch of New Product by CME Group

Tuesday 10 January 2020, 10:15 PM AEST - 5 months ago

On Tuesday (January 14), which coincides with "New Year's Day" (better known as "Old New Year") according to the Russian Orthodox Church (which uses the Julian calendar), Bitcoin celebrated by surging 5.5% to $8,551, which is the highest level it has been since 14 November 2019.

Bitcoin's jump in price came just hours after CME Group (aka "CME") launched its latest Bitcoin product: options on Bitcoin futures contracts.

CME's launch occurred at 10:00 (CT) or 15:00 (UTC) on Monday (January 13).

As you can see in the 24-hour BTC-USD price chart below from CryptoCompare, Bitcoin's price did not get an immediate boost, presumably because most Bitcoin derivatives trading occurs in South-East Asia and trading in CME's options on Bitcoin futures started at 23:00 Hong Kong time:

BTC-USD One Day on 14 Jan 2020.png

Bitcoin's price surge seems to have started around 23:55 (UTC) on January 13, approximately nine hours after the launch, when Bitcoin was trading at $8,106. Within less than five hours, Bitcoin had raced to $8,551, which is the highest level it has been in two months, as you can see from the three-month BTC-USD price chart shown below:

BTC-USD Three Months on 14 Jan 2020.png

As Tim McCourt, a Managing Director at CME Group and CME Group's Global Head of Equity Products, explained in a LinkedIn post on January 13, thes ...

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