Bitcoin’s (BTC) Participants Buying the Dip
- After this week’s 10% decliner, Bitcoin recovered some Thursday
Thursday, digital-asset prices moved higher clawing back some of Wednesday’s losses, which saw most major coins post double-digit declines.
The session has the #1 digital currency is gaining ground.
Currently, Bitcoin is trading at 6,562.20, +18.96, or +0.29%, as of 1:46a BST, the market is open.
As analysts and observers sought to explain Wednesday’s decliner, 1 analysts noted that the lack of pricing information in the cryptocurrency market leaves coins susceptible to significant price swings driven by single entities, often referred to as Bitcoin whales.
“Unlike other mature asset classes that have very metrics based fair value models that tend not deviate much from one another, the concept of fair value with Bitcoin can have a huge variance,” he wrote in a note to clients.
“How large market participants that are organic in the supply chain interpret news events such as yesterday is more likely to drive short term price action than any single person or entity preaching technical levels or evangelizing the value of Bitcoin using theoretical models.”
After Wednesday’s grim action, futures came back on the tracks Thursday too.
The Cboe Global Markets Inc.’s August contract XBTQ8, +1.20% finished the day up 2.7% at $6,477.50 and
The CME Group Inc.’s August contract BTCQ8, +1.47% finished Thursday up 2.1% at $6,460.