Market manipulation related to CBOE and CME futures!
Both when the CBOE future expired now, when the CME bitcoin future is originating settlement, there is a substantial loss of the bitcoin price. Both futures has quite a low volume and I would guess that they may be covered with a unitary liquidity provider\/market maker. Forex maker is most likely short the future and maybe long the location. At expiry, they’ll profit if your cost is low this will let you border after settlement once the cost rebounds. Sadly both CME and CBOE has chosen a really bad settlement processes which might be simple to manipulate. For CBOE oahu is the auction price for Gemini – a tender having a tiny volume generally.
CME’s model is best, but still not very good, VWAP around the four major exchanges a very good idea, however, if that VWAP is calculated on one minute of trading it’s meaningless. With few large participants, the degree on this type of brief period is incredibly limited. Even if many large participants could have interests in any of those settlement processes they’d probably have the identical position and gains advantage from exactly the same side from the market manipulation. The VWAP will need to have been calculated over a long time instead). Concluding is that we likely will see a great deal of strange market activity around each future expiration and expect a rebound after 3 pm Central time today!.
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