With Wall Street pretty much sitting on the fence last year and major players pulling back from the brink when it comes to cryptocurrency, reports from New York’s banking hub seem to indicate that the crypto trade is gaining fresh impetus.
Many see large-scale investment being re-examined in 2019 after being scared off by Bitcoin’s December dip. Wall Street notably stood back prior to the end of the year with Goldman Sachs’ much-publicized plans to open a crypto trading desk called “top-of-the-market-hype thinking” by one New York executive.
Nasdaq is already supporting crypto exchanges and the company is certainly not new to cryptocurrency’s underlying technology, blockchain. Apart from its long-term relationship with blockchain startup, Chain, it has recently announced a collaboration with cryptocurrency exchange Gemini.
It appears that selling on over the counter (OTC) desks is now turning to buying, as crypto OTC firm Cumberland pointed out, with the crypto buyers and sellers dynamic shifting towards far more bullish territory this year to date.
Desk Update: Historically, our OTC trading is relatively balanced between buyers and sellers. Over the last week, our OTC buy/sell ratio (by notional value) has increased approximately 60% towards counterparties buying.
— Cumberland (@CumberlandSays) January 8, 2019
Michael Moro, the CEO of Genesis Trading, sees the same reaction by buyers to the new year following last year’s rush to sell off crypto assets for tax purposes agreeing:
“I’ll echo Cumberland’s sentiments. Year-end saw quite a bit of selling for numerous reasons (e.g., tax loss selling and liquidation of crypto donations). As the year turned, the selling pressure from such activities has subsided, and we have seen more buy-side interest pick up.”
Monica Summerville, Tabb Group’s director of fintech, claims that major crypto exchanges have less trade that the OTC market which she says is over three times more active, arguing that “the big deals go to OTC”.
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Want to advertise or get published on BitcoinNews.com? – View our Media Kit PDF here.
Image Courtesy: BitcoinNews.com