The enthusiasm was short-lived, with the following crash taking the pair below its previous levels. Daily losses for Bitcoin totaled 2.3% at press time, while the largest cryptocurrency remained up 2.6% versus the same point last week.
Bitcoin price (BTC) traded broadly lower on Oct. 11 after sudden volatility broke a sideways trend in place since earlier in the week.
Bitcoin analyst prepares for range-bound trading
Data from Coin360 showed BTC/USD circling $8,350 on Friday, having jumped to a local high of above $8,770 earlier.
Bitcoin seven-day price chart.
Markets broadly shook off events which commentators assumed would impact them. Specifically, the decision by U.S. regulator the Securities and Exchange Commission to reject the latest Bitcoin exchange-traded fund (ETF) failed to dent sentiment.
Previous ETF denials had piled downward pressure on Bitcoin, suggesting markets this time had already price in a negative decision. Another major ETF offering was withdrawn by its sponsors in September, hinting at a lack of confidence in the instrument winning approval.
For the short-term future, however, analysts assumed it would be business as usual for Bitcoin. Regulator Cointelegraph contributor and market analyst Michaël van de Poppe eyed a narrower trading corridor centered on $8,300.
“Continue the ranging for now”, he summarized in a fresh update on Friday morning.
Van de Poppe said that $8,300, as the monthly opening price, would form support, while resistance closer to $8,500 remained “significant.”
For fellow contributor crypto trader Scott Melker, the recent activity was calculated by large bagholders. He told Cointelegraph:
“I don’t think whales stopped hunting. I just think they started hunting for liquidity to sell and short, and the $8800 area was a predictable area to do so. Pushing price up to engineer liquidity was a logistical move.”
Altcoins shed 3% amid mixed sentiment
For altcoins, a day of underwhelming returns for Bitcoin translated into similarly lackluster performance. Trending in line with BTC, the major of the top twenty cryptocurrencies posted daily losses of 2-3%.
Ether (ETH), the largest altcoin by market cap, fell 1.7% to $186, better than most, while Binance Coin (BNB) and Bitcoin Cash (BCH) lost closer to 3%. XRP also bucked the trend, staying stable at 0.7% lower.
Ether seven-day price chart.
The overall cryptocurrency market cap was $226 billion at press time, with Bitcoin’s share slightly down at 66.8%.