Analysts at Singapore-based trading firm QCP Capital predict that the introduction of Bitcoin ETF options on Nasdaq by BlackRock’s iShares Bitcoin Trust could significantly boost institutional participation in the cryptocurrency market.
The ETF options began trading on Tuesday, November 19, and they recorded impressive activity. Over 73,000 contracts traded were traded within the first hour of launch, placing it among Nasdaq’s top 20 most active non-index options.
QCP Capital analysts published their market update on the same day, highlighting the potential appeal of these options for institutional investors. They noted that the ETF options allow investors to earn yields on long-term holdings, presenting an attractive alternative for those unable to access native crypto options platforms like Deribit.
The trading firm described the Nasdaq listing as a critical “milestone” for Bitcoin derivatives, emphasizing that derivatives markets historically expand to 10-20 times the size of their underlying assets. They also linked this development to a broader trend of institutions leveraging traditional financial products as proxies for Bitcoin exposure, citing MicroStrategy’s notable Q3 growth in institutional investors.
The analysts also highlighted Bitcoin’s current price stability above $90,000 as a positive signal for further growth. They identified the December $100,000 strike price as holding the “highest concentration of open interest.” As of now, Bitcoin trades at $92,335, according to CoinGecko data.
This announcement from QCP Capital follows its recent partnership with Zodia Custody Gateway. The partnership enables QCP to offer bespoke structured solutions, spot trading with deep liquidity, and seamless on/off ramp services through Zodia’s secure wallet infrastructure.
Darius Sit, Founder and Chief Investment Officer at QCP, emphasised the firm’s commitment to setting new standards in the digital asset space, delivering secure and innovative solutions tailored to institutional needs. The collaboration aims to empower clients like Raffles Family Office Group, driving adoption and long-term growth in the dynamic digital asset market.
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