Bitcoin traded below $82,000 on Monday as a wall of ask liquidity above $83,000 capped the price while stocks and US bond yields rose. QCP Capital warned that a repeat of last week's tech-stock sell-off could hurt BTC.
Bitcoin traded below $82,000 after Monday's Wall Street open, as crypto diverged from rising stocks and bond yields. Ask liquidity amassed above $83,000 across exchanges, which kept BTC in a tight range.
Bitcoin dips after touching $83,062
Data from TradingView showed BTC/USD dipping to $81,678 on Bitstamp after it reached $83,062 earlier in the day. On lower time frames, ask liquidity thickened above $83,000 on exchange order books.
Meanwhile, 24-hour cross-crypto liquidations totaled $335 million, according to CoinGlass data.
Stocks and yields rise together
Both Asia and US equities rallied to start the week, which helped recoup the previous week's losses as selling pressure on tech stocks eased. The Nasdaq Composite Index was up 1.5% at the time of writing, while South Korea's KOSPI Composite Index finished 1.76% higher at 5,768 points.
US bond yields rose in lockstep with equities ahead of anticipated strong corporate earnings by tech giants. The 10-year and 30-year yields reached 5.13% and 5.46%, respectively, and several of those earnings reports are due on Tuesday and Wednesday, including Meta, SpaceX and Tesla.
QCP Capital flags equity risk
Trading company QCP Capital saw bond-market stability as key to Bitcoin upside momentum. It also warned that BTC could suffer from a repeat of last week's tech-stock sell-off, and that broader equity deleveraging could potentially threaten the $80,000 support level if sustained.
On the other side, QCP said a sustained Treasury rally could support risk assets, particularly if it comes with declining real yields and a weaker US dollar.
Onchain analytics platform CryptoQuant, meanwhile, showed Bitcoin whales reducing activity. The Binance whale ratio fell to 0.45 from 0.54 at the start of October.
Source: Cointelegraph
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