Bitcoin and crypto money prices will be in the direction, the factors that affect it is not easy to determine what. In this article we talked about OTC trade which is an overlooked factor.
Bitcoin and crypto money prices are affected by what factors?
Bitcoin and crypto money prices can be affected by many different factors. Although hackers, legal regulations or new technologies are shown by the experts in this field as the main factors affecting prices, it is known that there are many other unknown elements.
The most neglected of them and perhaps the most impact on the price of Over-the-Counter ie OTC operations. Over-the-Counter transactions are peer-to-peer outside the stock market, ie from the user to the user or a broker, ie the means to buy transactions made through the tool.
Since OTC transactions are made out of stock exchanges, the volume of transactions made here is neglected and is not included in the calculation.
TABB Group issued a report on the OTC trade in August. According to this report, the daily trading volume of Bitcoin on regular crypto money exchanges is about $ 11 billion, which is estimated at $ 12 billion for OTC trading.
OTC effect on bitcoin and crypto money prices will continue
OTC transactions are generally preferred by high-income individuals, such as Bitcoin whales, private fund managers, hedge funds and some other institutional investors. Broker use has some advantages in itself. Especially due to the lack of liquidity in the crypto money exchanges, the ipp slippage problem, which means that high volume transactions take a lot of time, can be solved by the use of brokers.
Another advantage is that transaction costs on OTC platforms are very low. If you want to make a lot of transactions on a stock exchange, the transaction fee may be too high. However, on a OTC platform, a broker can perform the entire transaction at a reasonable price. In addition, OTC transactions can be an alternative solution for countries that prohibit the crypto money exchanges.
Speaking on this issue, TABB Group employee Monica Summerville stated that all of the data obtained was obtained from the persons who were traded in this field. Only the net changes in the position of the operator are recorded in the blockchain system.
Although the research carried out by the TABB Group does not fully account for the factors affecting Bitcoin prices, the OTC market, which the world has just started to understand, draws attention to the impact of the OTC market in this area. Experts, the OTC market operations for Bitcoin and crypto money prices will continue to make significant impact in the coming years.