{"id":226684,"date":"2021-04-14T18:08:18","date_gmt":"2021-04-14T15:08:18","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/what-will-happen-to-bitcoin-price-as-coinbase-goes-public\/"},"modified":"2021-04-14T18:08:18","modified_gmt":"2021-04-14T15:08:18","slug":"what-will-happen-to-bitcoin-price-as-coinbase-goes-public","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/what-will-happen-to-bitcoin-price-as-coinbase-goes-public\/","title":{"rendered":"# What will happen to Bitcoin price as Coinbase goes public?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3da7a2790b5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3da7a2790b5\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/what-will-happen-to-bitcoin-price-as-coinbase-goes-public\/#The_bull_case_for_post-Coinbase_listing\" >The bull case for post-Coinbase listing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/what-will-happen-to-bitcoin-price-as-coinbase-goes-public\/#The_bear_case_following_the_Coinbase_listing\" >The bear case following the Coinbase listing<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># What will h<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>en to Bitcoin price as Coinbase goes public? <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>Bitcoin (BTC) and Ether (ETH) have continually surged toward record highs, causing the futures market of Bitcoin to see a substantial increase in volume and open interest. The term \u201copen interest\u201d refers to the total sum of active trades in the Bitcoin derivatives market. Currently, the open interest of the Bitcoin futures market is hovering at historic highs, currently $27.43 billion.<\/p>\n<p>Following the Coinbase listing, traders and investors <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>ly anticipate the uptrend of Bitcoin and Ether to continue. But there are also short-term bear cases due to various factors such as a potential \u201csell-the-<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a>\u201d scenario and an overheated futures market.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_bull_case_for_post-Coinbase_listing\"><\/span>The bull case for post-Coinbase listing<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>According to Adam Cochran, partner at Cinneamhain Ventures, Bitcoin should theoretically be at $70,000 going into the Coinbase listing. The investor said that the reason behind BTC\u2019s gradual uptrend is the use of heavy leverage in the Bitcoin futures market, causing BTC to drop when the derivatives market gets overheated.<\/p>\n<p>High leverage can cause short-term drops to occur because when there is a significant percentage of highly leveraged buy orders or longs in the market, the funding rate increases. Funding is a mechanism used by Bitcoin futures exchanges to achieve balance in the market.<\/p>\n<p>When there are more buyers in the market, the funding rate increases. When the funding rate rises, buyers have to compensate short-sellers with a portion of their position. Since buyers have to pay sellers every eight hours to keep their positions open, it becomes less attractive to long Bitcoin, making it vulnerable to a drop. Cochran <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/AdamScochran\/status\/1382107575248900100\">said<\/a>:<\/p>\n<blockquote><p>\u201cIt\u2019s crazy that we hit a new $BTC ATH the day before Coinbase lists, and kicks off 6 months of new roll outs, upgrades and institutional adoption with ETFs, etc. And it *STILL* doesn\u2019t feel like we\u2019ve got feverish 2017 levels of mania and FOMO yet. It just feels&#8230;on track?\u201d<\/p><\/blockquote>\n<p>He further <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/AdamScochran\/status\/1382126287381205005\">added<\/a>: \u201cThe only reason $BTC isn\u2019t at $70k already is because the retail-kiddies don\u2019t know how to use leverage without getting mega-nuked at every all time high.\u201d<\/p>\n<p>Despite the price of Bitcoin hovering at an all-time high, the relative strength index is lower than where it was during the 2017 peak of the previous bull run. When the price of Bitcoin violently dropped in a short period, its RSI was at around 95. Currently, the RSI is at 92, which is lower than the tops of both the 2017, 2013 and 2011 rallies.<\/p>\n<p>PlanB, the creator of the Stock-to-Flow indicator \u2014 which predicts Bitcoin will likely reach $200,000 \u2014 said that BTC would have to rally toward $92,000 to hit an RSI of 95. The analyst <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/100trillionUSD\/status\/1382282077429719040\">said<\/a>: \u201c#Bitcoin is looking strong at RSI 92.\u201d<\/p>\n<p>The price of Bitcoin is strongly rallying in anticipation of Coinbase\u2019s public listing. Investors and traders generally believe that the cryptocurrency market will continue on an upward trajectory post-Coinbase listing, mainly due to the strong momentum of the market. However, there are some who believe that the listing of the stock, which will trade under the ticker \u201cCOIN,\u201d will mark a temporary top for cryptocurrencies.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-04\/589de00d-e416-4c05-ac60-f8c1c48210f0.png\"><\/figure>\n<p>On-chain data also suggests that Bitcoin is in a favorable position to see a broader rally. Elias Simos, protocol specialist at Bison Trails, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/eliasimos\/status\/1382316835266265089?s=20\">said<\/a> that the supply of Bitcoin among addresses that hold 100 to 1,000 BTC has hit an all-time high. This indicates that the number of high-net-worth investors holding Bitcoin is increasing. He stated:<\/p>\n<blockquote><p>\u201cThe supply of $BTC in addresses that hold between 100 and 1k of the coin has hit an all time high! This growth has come at the expense of both the cohorts right below (1-100) and above (1k-10k). The reshuffling continues unabated.\u201d<\/p><\/blockquote>\n<p>Atop the technical and fundamental strong points of Bitcoin heading into the Coinbase public listing, the general sentiment around the event remains overwhelmingly positive. Nic Carter, a long-time Bitcoin investor and researcher, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/nic__carter\/status\/1382312619806183424\">said<\/a> COIN is gearing up to be one of the most explosive public listings in the history of the United States stock market:<\/p>\n<blockquote><p>\u201cAs COIN gears up to be the most explosive public listing in history; GBTC eyes GLD for the title of largest commodity tracker; and BTC exceeds the value of the monetary base of the Pound Sterling; Take a minute to let it sink in. Then get back to work.\u201d<\/p><\/blockquote>\n<p>Although a big part of the interest comes from the fact that the stock market is seeing the first debut of a major U.S. crypto exchange, Coinbase\u2019s financials have impressed investors in the traditional financial market. Anthony Pompliano, a noted Bitcoin investor and co-founder of Morgan Creek Digital, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/APompliano\/status\/1379529577689669633\">pointed out<\/a> in early April that Coinbase made more in revenue in the previous 90 days than it did in all of 2020.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_bear_case_following_the_Coinbase_listing\"><\/span>The bear case following the Coinbase listing<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The primary bear case surrounding the Coinbase listing remains the high probability of a \u201csell-the-news\u201d drop in the cryptocurrency market. Atop this, there is a chance that buyers will rush into COIN, possibly selling Bitcoin, Ether and other major cryptocurrencies in the process.<\/p>\n<p>Mohit Sorout, partner at Bitazu Capital, also emphasized that he believes the final leg of the Bitcoin bull market is approaching, based on historical trends. He <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/singhsoro\/status\/1381889893224226819\">said<\/a>, \u201cTruth be told I seriously think we\u2019ve entered the final leg of this $btc bull market. To be clear, final leg could be 2-3 weeks or even more. Price could reach 200k or even more who knows. Just don\u2019t make irrational life decisions based on unrealized PnL.\u201d<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-04\/178bd548-13b9-4d1f-9f7e-582bb8738e5e.png\"><\/figure>\n<p>On top of the possibility of a peak approaching for the cryptocurrency market, the funding rate of the Bitcoin futures market is at around 0.11% on average. The default funding rate of Bitcoin is 0.01%, so this is 11 times higher. Hence, the likelihood of a flush correction in the short term remains relatively high.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/what-will-happen-to-bitcoin-price-as-coinbase-goes-public\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# What will happen to Bitcoin price as Coinbase goes public? &#8221; Bitcoin (BTC) and Ether (ETH) have continually surged toward record highs, causing the futures market of Bitcoin to see a substantial increase in volume and open interest. The term \u201copen interest\u201d refers to the total sum of active trades in the Bitcoin derivatives&#8230;<\/p>\n","protected":false},"author":1,"featured_media":226685,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDQvNGQ5YzIxYjktYmIyOC00ZWE0LThmNmUtMDFhMDZhZmJiMTIwLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,74894,74956],"class_list":["post-226684","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-blockchain","tag-coinbase"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/226684","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=226684"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/226684\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/226685"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=226684"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=226684"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=226684"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}