Bitcoin (BTC) Stages Relief Rally to $8,200
In a late move over the weekend, BTC recovered to a higher price range, as bulls managed to sway the price.
Bitcoin (BTC) staged a relief rally on Sunday, moving above the $8,000 range once again. The move for now rolls back the scenario of a quick drop to a lower range. The move happened on volumes above $15 billion’s equivalent, extending the BTC dominance to 66.7%.
BTC is still at the crossroads, with a long period of stagnation that starts to recall the price move from November 2018. Since September 23, the BTC price adopted $8,000 as a new range of stability, going down from a few months spent at the $10,000 level.
More than 70% of BTC trading is in the pairing with Tether (USDT), up from 65% at the end of September. The influence of USDT grows, as Tether has moved at least half the coins to the Ethereum network, with heightened activity of the main smart contract.
During the latest BTC rally, the Tether smart contract showed immediate pickup in activity, burning up above 21% of the gas, up from around 13% on a usual day. This also led to a rise in the price for a fast transaction, to above 15 gWei, or $0.055.
Before the most recent rally, a new minting of USDT, to the tune of 8 million coins, was noted by whale watching bots, with new minting following on Monday.
Tether has been rather conservative about printings, coinciding with the relatively long period of stagnant BTC prices.
Currently, a few tranches of USDT are making their way into exchanges, possibly giving fuel to an extended BTC rally. As BTC enters the final stretch of 2019, and gets closer to the halving, a new peak rally is seen as a possible scenario.
The Bitcoin volatility index climbed to 3.09%, still far from peak values near 15%. But in the past few weeks, BTC has staged moves of a few hundred dollars. For BTC, in the third quarter volatility fell significantly from nearly 7% in July, and so far makes only minimal moves, with no clear trend.