Cryptocurrency prices were muted Friday morning, with the No.1 digital currency, bitcoin, trading in a tight range to start the session.
After yesterdays rally which pushed bitcoin BTCUSD, +1.74% more than 30% off Tuesdays three-month low of $5,947.40, gains have been harder to come by with bitcoin trading either side of $8,000. “Breaking $10k isn’t even out of the realm of possibility,” Jani Ziedins said in a note Friday.
“But this is a “dead cat bounce” and any strength should be sold, not chased.”
Bitcoin was last traded at $8,250, unchanged on the day, while Ether, which runs of the Ethereum network was higher by 1.6% at $830, according to data from CoinDesk. Elsewhere, after yesterday’s 30% surge, bitcoin cash is trading 2.6% higher at $1310, Ripple is up 2.8% at 83 cents, and Litecoin is unchanged at $148.
Yesterday’s rise in cryptocurrency prices contradicted equities which slumped to multi-month lows. The Dow Jones Industrial Average DJIA, -0.07% finished Thursday down more than 1,000 points, officially entering correction territory, 10% off the all-time high.
The disjoint comes after a lengthy period of correlation between the two asset classes, with many touting bitcoin as a genuine risk asset.