Bitcoin (BTC) is turning red on Friday, bringing the rest of the crypto market along with it.
The leading cryptocurrency is down 4.44% at $8,788 at time of publishing, according to COIN360.
Ethereum is down 1.69% at $183.22, XRP is down 4.75% at $0.2769, Bitcoin Cash is down 3.91% at $279.21 and Litecoin is down 1.60% at $60.30.
Crypto analyst DonAlt tells his 123,000 followers on Twitter that he believes Bitcoin needs to hold support at $8,300 to avoid a much larger move to the downside.
“Even though the narrative has changed, the chart has not.
I still think the area around $8,400 is incredibly interesting. I’d be surprised by any major moves other than the above shakeout. I think we’ll range for quite a while longer.”
Bitcoin Volume Looking Weak
The on-chain analysis firm Glassnode is breaking down Bitcoin’s metrics. The data tracker says $7,900 is now the key number to watch.
“Bitcoin just broke resistance. Strong on-chain support levels are between $7900-$8400.”
“This week’s on-chain market observations:
Core Bitcoin on-chain metrics are at monthly lows (adjusted transaction volume, exchange inflows, active addresses).
Healthier levels are required to set the stage for the next bull market.”
Bakkt Hits New Record
Meanwhile, Bakkt daily trading volume is smashing its record high of 1,183 contracts set on October 25, according to the independent data tracker Bakkt Volume Bot on Twitter.
On Tuesday, Bakkt’s monthly futures volume surged to $10 million with 1,061 contracts, ranking as the platform’s second-largest day on record. Today that figure stands at 1,282 worth $11,220,705.
∙ Today's volume so far: 1282 BTC ($11,220,705)
∙ Last traded price: $8,753
∙ Trading day progress: 50%
∙ Current daily Bakktarget™: 1849 BTC ($16,184,721)
— Bakkt Volume Bot (@BakktBot) November 8, 2019
Since October 23, when Bakkt’s Bitcoin futures trading volume took a big leap, it hasn’t dipped below $2.5 million, signaling a sustained rise in interest among institutional investors. Crypto economist Alex Krüger suggests a prevalent use case.
“Bakkt will likely be used much more for arbitrage and trading the futures curve than for taking ‘physical’ delivery of bitcoins. Which is fine.”
Bakkt's monthly futures volume increase is impressive. It still can be attributed to a low base effect. Volume now represent 4% of CME's. https://t.co/38y0L4gH82
— Alex Krüger (@krugermacro) November 7, 2019