Market Wrap: Bitcoin Hovers Around $27K While ETH/BTC Pair Goes Bullish

Bitcoin has mostly traded in a tight, low-volume range Monday while some profit-taking from bitcoin into ether is appearing on the ETH/BTC charts.

  • Bitcoin (BTC) trading around $26,822 as of 21:00 UTC (4 p.m. ET). Gaining 2.3% over the previous 24 hours.
  • Bitcoin’s 24-hour range: $25,759- $27,447 (CoinDesk 20)
  • BTC very near its 10-hour and 50-hour moving averages on the hourly chart, a sideways signal for market technicians.

Bitcoin trading on Bitstamp since Dec. 25.
Source: TradingView

Bitcoin’s price action has stagnated Monday, trading in a $27,000-$27,200 range for many hours, according to CoinDesk 20 data. The lack of movement follows a Sunday when bitcoin cracked an all-time high of $28,352, fueled by a bull run sparked on Dec. 25.

A bit of a respite is par for the course, according to over-the-counter trader Alessandro Andreotti. “I think it’s just a minor retracement, a little pause after a week of all-time highs,” Andreotti told CoinDesk. “BTC is definitely still in bullish territory.”

Read More: Whale Sightings Become Scarce, Removing Downward Pressure on Bitcoin

After Sunday’s run that saw over $4 billion in volume on major CoinDesk 20 exchanges, Monday’s spot trading tally is much lower, at $1.8 billion as of press time. “Given the speed of the rise yesterday, especially after the last few days’ rally, a slight contraction is normal,” said David Lifchitz, chief investment officer of quant trading firm ExoAlpha.

Bitcoin spot volume on eight major exchanges.
Source: Shuai Hao/CoinDesk Research

“Bitcoin continues on its strong upwards path with more retail investors now moving into bitcoin over the holiday break,” noted Jason Lau, chief operating officer of San Francisco-based cryptocurrency exchange OKCoin. However, flat spot volume may not be a trend heading into next year, according to Lau. “With the [U.S. economic] stimulus package being signed, the appeal of bitcoin as a store of value could continue into 2021.”

In the…

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