The volume of traded contracts on the new Bakkt Bitcoin futures exchanges plummeted by -79 percent yesterday. Only 28 BTC-worth of contracts were traded all day.
Although it is expected that the much-hyped Bakkt futures exchange would start slow, it seems that it is even struggling to keep up the momentum it had just last week.
As documented by Bakkt Volume Bot (@BakktBot), daily trading volume for contracts on the exchange plummeted yesterday to just 28 BTC. The day before, the exchange had 132 BTC in volume.
Bakkt Critics Are Getting Louder
BeInCrypto reported on the story yesterday, but now we have the full daily data which confirms the drastic drop is worse than was expected.
This drastic decline may signal that the exchange may close the week exceptionally poorly compared to the $5.8M in volume the week prior. If so, we could start to hear disappointing voices get louder and louder. Bakkt has already been blamed for Bitcoins’ recent double-digit crash. Even JP Morgan recently laid the blame on the hyped futures exchange for setting expectations disproportionately high.
Where Are the ‘Institutional Investors?’
If Bakkt’s trading volume continues to dwindle, it may just put to rest this idea that ‘institutional investors’ are eagerly waiting to jump into Bitcoin. Given the already-anemic volume on Bakkt, it seems that these investors were not waiting to get in.
The succeeding weeks will prove critical for Bakkt to reassert its authority as a major force within the cryptocurrency world. For now, they are struggling to meet up with expectations.
Also, given that the market responded so poorly to Bakkt’s release, many are now questioning whether the exchange has brought anything new to the table, to begin with. We may start to hear the cryptocurrency space get more resentful if Bakkt ends up proving to be lackluster.
The coming months will truly be a ‘make it or break it’ moment for Bakkt. Yet, we will have to wait until the end of this week to better gauge what to expect.
Do you think that Bakkt will ultimately be successful or was it over-hyped to start with? Let us know your thoughts below in the comments.