How have crypto prices moved this week?

Bitcoin’s price has been experiencing a range-bound market, with conflicting fundamentals and reduced network activity making it difficult to establish a clear trend. The cryptocurrency’s price is currently oscillating within an ascending channel, bounded by a resistance at $28,000 and a rising support at approximately $26,750. 

This range-bound behavior is accompanied by declining volumes and volatility, underscoring a growing bias conflict among traders.

Declining network activity and its impact on Bitcoin’s price

The duration of Bitcoin’s consolidation coincides with a massive drop in its deposits, withdrawals, and overall transactions. 

In May, these metrics increased due to the hype around Bitcoin Ordinals, only to crash significantly in September. 

On-chain data analyst MAC_D from CryptoQuant argues that this decrease in network activity is a result of fewer new investments coming into the crypto market, leading to less liquidity and therefore less price volatility.

Conflicting market catalysts: Bitcoin ETF hopes vs. higher-rate worries

Bitcoin ETF vs FED higher interest rates

Bitcoin’s consolidation period is influenced by two conflicting market catalysts: hopes for the approval of a Bitcoin exchange-traded fund (ETF) in the United States and worries about the U.S. Federal Reserve’s “higher-for-longer” interest rate strategy. 

Analysts suggest that a Bitcoin ETF approval could bring $600 billion worth of demand to the market, which would be a boom for the BTC price. 

However, stickier inflation raises the potential of the Fed keeping rates higher in the future, which could hurt riskier assets, including BTC and crypto prices.

Also read: Spot Bitcoin ETF Approval Gains Momentum Following Grayscale’s Legal Triumph and Market Surge

BTC accumulation by whales and institutional investors

Despite the range-bound market, Bitcoin’s supply across whale and institutional addresses has been increasing, indicating that the cryptocurrency’s richest investors have been accumulating off-market via over-the-counter desks. 

For example, the supply held by Bitcoin addresses with a 10,000–100,000 BTC balance has jumped by over 1% from its October 5th low. 

Bitcoin supply held by addresses with a 100–100,000 BTC balance. Source: Santiment

This accumulation is happening as the supply held by Bitcoin addresses with a 1,000-10,000 BTC balance is dropping, and the supply held by the 100–1,000 BTC balance cohort is rising.

Technical analysis and future price predictions

Crypto prices

From a technical perspective, Bitcoin is eyeing a rebound towards $28,000 after showing signs of stabilizing around $26,750. 

The short-term upside outlook is based on BTC’s price fluctuations inside its prevailing ascending triangle. 

Short term price outlook of Bitcoin

Image source: CoinTelegraph

A longer-timeframe scenario shows Bitcoin treading inside a broader ascending channel pattern, with a potential climb towards $36,000 in late 2023 or early 2024. However, the ascending channel also resembles a rising wedge, a bearish reversal pattern. 

Long term price outlook of Bitcoin

Image source: CoinTelegraph

If BTC falls below the channel’s lower trendline, Bitcoin’s price may decline by as much as 40% to $15,650 in 2023 or Q1 2024.

The crypto market’s marginal fall and total trading Vvlume dip

In the broader cryptocurrency market, Bitcoin’s price is not the only one experiencing a marginal fall. The total market cap has decreased by 0.10% to $1.05 trillion, and the total trading volume has dipped by 9.55% to $22.51 billion.

Big Time (BIGTIME) is currently the most trending cryptocurrency, while Loom Network (LOOM) is the top gainer, and Toncoin (TON) is the top loser.

Crypto prices and market dominance

Bitcoin’s price is currently at $26,887.91, with a 24-hour trading volume of $9.10 billion.

Ethereum (ETH) has experienced a 0.47% decrease, with a price of $1,550.73 and a 24-hour trading volume of $5.22 billion. 

Tether (USDT) has a 0.01% decrease, with a price of $0.9998 and a 24-hour trading volume of $16.19 billion. 

Solana (SOL) is down by 0.56% to $21.45, while Avalanche is up by 0.10% to $9.16. 

Cardano (ADA) has increased by 0.34% to $0.2466.

Meme coins and Decentralized Finance (DeFi)

Crypto prices - Memecoins and DeFi

Dogecoin (DOGE) has experienced a 0.51% decrease, with a 24-hour price of $0.05802, while Shiba Inu has increased by 0.60% to $0.000006839. 

In the decentralized finance (DeFi) sector, DeFi coin is trading at $0.0009259, down by 0.11%, and Yearn.Finance is down by 0.92% to $5,077.72, with a 24-hour trading volume of $21.97 million.

Bitcoin dips below $27,000, LOOM Gains Over 30%

In the latest crypto prices update, Bitcoin’s price has dipped below $27,000, standing at $26,781.63 on October 13th. 

On the other hand, Loom Network (LOOM) has experienced a significant gain of over 30%. The global market cap currently stands at $1.05 trillion.