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Bitcoin’s Price Records Largest Gap On CME Of $3000: Report

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Bitcoin’s price records largest CME futures gap of $3000 but the question rises if the cryptocurrency will dip to fill the gap as it did a few times before, so let’s take a closer look at the price analysis in our BTC news.

Bitcoin’s price records largest CME futures gap to this date and this came after a three-day Christmas break for the BTC trading on the regulated exchange with a massive price surge for the asset that resulted in a consecutive all-time high. Launched in 2017, CME’s BTC futures product enables the institutional investors to trade the primary cryptocurrency on the regulated platform but being a regulated establishment means that CME operates between certain hours on the weekdays and stops trading during weekends or holidays. In contrast, BTC is a free market asset that trades all day every day even on holidays. This creates an interesting situation so when CME closes at the end of a working week, while BTC continues to fluctuate in the upcoming days, the CME gaps appear when the regulated exchange starts opening for trading after the weekend.

Bitcoin Futures On CME. Source TradingView

This is what happened exactly. CME BTC futures closed for trading on Thursday instead of Friday because of Christmas and at that time, the price was set at $23,600. With the holiday season arriving, BTC refused to stay steady and the cryptocurrency went on a tear which resulted in breaking above price tags like $27,000 and $28,000 over the weekend. When CME opened on Monday, there was a huge gap between the closing price on Thursday and the latest one. BTC retraced a little from the ATH to $26,660 at the time of CME opening hours which was a gap of $3000 left.

Source BTCUSD on

CME Gaps appear after almost every weekend but the history shows that BTC has a tendency to fill in the gaps by initiating huge price movements in either direction. This raised the question if the cryptocurrency will go towards the violent retracement to do it again. If BTC fills the gap, the asset will have to dump by $3000 in value. According to the recent data from Arcane Research, CME is the largest futures market for BTC with a growing impact on the market. This raises many concerns for all BTC proponents that the effects of the platform could pause or stop the Q4 2020 bull run.

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