First Mover Asia: Bitcoin Rises Amid Light Weekend Trading

Yet, bitcoin’s market dominance has been dropping as interest in altcoins soars; transaction fees on the Ethereum blockchain have been rising.

Nov 7, 2021 at 11:30 p.m. UTC
Updated Nov 8, 2021 at 3:43 p.m. UTC

Good morning, Here’s what’s happening:

  • Market Moves: Bitcoin rose over the past 24 hours, and the leading cryptocurrency by market capitalization experienced low volatility.
  • Technician’s Take: Bitcoin is holding support at $60K, and slowing momentum suggests a period of consolidation.
  • Watch CoinDesk TV for insightful interviews with crypto industry leaders and analysis.

Bitcoin (BTC): $62,877.06

Ether (ETH): 4,601.22

Market moves

Bitcoin continued to hover comfortably above $60,000. At the time of publication, it was $62,877.06, up 2.4% in the past 24 hours. The No. 1 cryptocurrency by market capitalization experienced low volatility over the weekend, as bitcoin’s trading volume was thin across centralized exchanges tracked by CoinDesk.

Ether, the second highest cryptocurrency, also rose over the past 24 hours. However, the transaction fees on the Ethereum blockchain are soaring. Data from BitInfoCharts shows that the average transaction fee on Ethereum was $41.50 on Saturday, nearly triple from three months ago. A few notable winners outside bitcoin in the past 24 hours were XRP (XRP), internet computer (ICP) and cosmos (ATOM). Among the biggest losers were solana (SOL) and shiba inu (SHIB). At the time of publication the price of 15 of the top 20 cryptocurrencies as listed by CoinDesk had gained.

The market’s main narrative has shifted to altcoins (alternative cryptocurrencies) as bitcoin’s market dominance continues to drop. Entering the week, tokens associated with layer 1 blockchains, including avalanche (AVAX) and solana, continue to grab the market’s attention as ether’s transaction fees surge.

Technician’s take

Bitcoin (BTC) continues to trade in a tight range, although buyers appear to be holding support above $60,000. Short-term indicators are neutral, although pullbacks could be limited given a series of price breakouts over the past month.

If buyers fail to hold $60,000, lower support around the 50-day moving average, currently near $55,000, could stabilize a pullback.

After remaining flat on Friday, bitcoin rose to nearly $63,000 at the time of publication of First Mover Asia, rising almost 4% over the weekend.

For now, upside momentum is slowing, which suggests a period of consolidation could persist in the short term. Eventually, indicators suggest momentum could improve to support a breakout in BTC above $65,000 based on positive historical returns in the fourth quarter.

Important events

Be on the lookout for the following today:

  • 1:00 p.m. Hong Kong/Singapore (5:00 a.m. UTC): Japan Leading Economic Index (September)
  • 5:30 p.m. Hong Kong/Singapore (9:30 a.m. UTC): Sentix Investor Confidence (Eurozone)

On CoinDesk TV

In case you missed it, here are the most recent episodes of “First Mover” on CoinDesk TV:

“First Mover” hosts spoke with stablecoin USDC issuer Circle CEO Jeremy Allaire as the company faces increasing scrutiny from regulators amid the Biden Administration’s stablecoin report. Voyager Digital CEO Steve Ehrlich shared insights into the multi-year partnership signed with Mark Cuban’s Dallas Mavericks. Plus, Blockchain Research Institute Co-founder and Executive Chairman Don Tapscott shared his take on big tech diving into the metaverse.

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DISCLOSURE

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

Muyao is a reporter on the markets team. She is based in Brooklyn, New York. She owns a marginal amount of bitcoin.

Damanick is a crypto market analyst at CoinDesk where he writes the daily Market Wrap and provides technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio manager at Cannon Advisors, which does not invest in digital assets. Damanick does not own cryptocurrencies.