CryptoWatch: Bitcoin Sees Muted Action, Consolidates After Drop Under Key, Long-term Trend Line

Digital currencies have taken a further pause Thursday, with most major assets trading in relatively tight ranges.

The No. 1 digital currency, bitcoin BTCUSD, -2.68% slipped back below $9,000, trading to its lowest level of the week at $8,660.87. A single bitcoin last traded at $8,847.25, down 2.5%, since Wednesday levels at 5 p.m. Eastern Time on Kraken.

Despite the decline Wednesday, industry participants remain upbeat, with the price of bitcoin still 30% off its April low.

“Overall things remain positive,” said Charles Hayter, co-founder of CryptoCompare. “The Nasdaq’s holistic approach to bitcoin and digital currencies where everything should trade anywhere at anytime shows a long-term vision for the space.”

Hayter added that the news Revolut had raised $250 million shows venture capital money is slowing increasing its push into the cryptocurrency and fintech industry.

Read: ‘OK, I’ll say it: bitcoin is a scam,’ says the former CEO of PayPal and Intuit

Bitcoin rejects at 200-day MA—again

The one concern for crypto investors is on the technical front. After a good two-week run, traders had hoped the momentum would take bitcoin through its 200-day moving average and test the psychological $10,000 level. Moving averages tend to be used by market technicians as a gauge of bullish and bearish momentum.

However, Bitcoin’s uptrend halted in its tracks Wednesday, just shy of the crucial level, falling more than 10%.

BTC/USD

The 200-day moving average has provided stiff resistance in the past. A mid-March rally took bitcoin above $9,000 before failing shy of the momentum indicator.

What are altcoins and futures doing?

Meanwhile, Ether ETHUSD, -0.63% is relatively unchanged at $636.77, Bitcoin Cash BCHUSD, +0.24%  has added 1.2% at $1,346.60, Litecoin LTCUSD, -1.94%  is lower by 1.3% at $147.09 and Ripple’s XRP XRPUSD, -2.34%  is off 1.6% at 81 cents.

Bitcoin futures are slightly lower to begin Thursday. The Cboe’s May contract XBTK8, -2.54%  is off 2.4% at $8,850 and the CME Group Inc. April contract BTCJ8, -1.56%  is down 0.9% at $8,890.

CryptoWatch: Check bitcoin and other cryptocurrency prices, performance and market capitalization—all on one dashboard

RECENT NEWS

Gyrostat Capital Management: The Missing Allocation In Retirement Portfolio Construction?

For decades, retirement portfolios have largely been constructed using combinations of growth assets a... Read more

When The Gate Comes Down

A Stress Test Rather Than a ScandalApollo Debt Solutions is not a blow-up story. It is something arguably more instructi... Read more

What If The Investment Industry Is Benchmarking The Wrong Things?

  Investment management is built around benchmarking.  Fund managers compare themselves a... Read more

SpaceX Is Looks To Make History

The Biggest Bet in Wall Street History: SpaceX's $1.78 Trillion IPOThere are moments in financial history that stop you ... Read more

Gyrostat June Market Outlook: When Low Volatility Conceals Structural Risk

This monthly Gyrostat Risk-Managed Market Outlook does not attempt to forecast market direc... Read more

Why Low Volatility Is Not The Same As Low Risk

Why Low Volatility is Not The Same As Low Risk Some of the worst-performing portfolios in... Read more