Bitcoin sinks further; short-sellers are still in control, says trader

Bitcoin Bitcoin News

Bitcoin prices are trading lower for a second day running, putting a lid on the recent euphoria that had some pundits eyeing $8,000 and beyond.

In early Thursday trading, one bitcoin
BTCUSD, -2.36%
 was last worth $6,872.14, down 2.4% since Wednesday at 5 p.m. on the Kraken crypto exchange.

After two winning sessions to begin the week, the No. 1 digital currency has erased nearly 3% from Wednesday’s highs, confirming that those shorting the cryptocurrency, or betting that it will decline, are still in control.

“Bitcoin is still holding the upper end of the range,” said Lennon Sweeting, director of institutional trading at Coinsuqare Capital. “A lot of what we saw [over the last two days] was short covering, but at the end of the day, shorts are still at elevated levels and we haven’t seen the bear market turn yet.”

Sweeting added that $6,500 should provide some solid support.

The cryptocurrency is up more than 2% for the week.

CryptoWatch: Check bitcoin and other cryptocurrency prices, performance and market capitalization—all on one

Altcoins retreat further, nearing negative territory for the week

Altcoins, or smaller coins that are alternatives to bitcoin, are trading lower Thursday, and most are in danger of entering negative territory for the week.

ETHUSD, -3.73%
is down 4.3% at $277.54 and is only 0.1% from slipping into the red for the week. Bitcoin Cash
BCHUSD, -4.33%
was off 5.2% on the day at $528.00, Litecoin
LTCUSD, -4.29%
is off 4% at $59.61, and Ripple’s XRP coin
XRPUSD, -4.92%
is the worst-performing altcoin, trading down 5.9% at 33 cents.

Read: Opinion: If you want financial secrecy, bitcoin and other cryptocurrencies can’t deliver it

Futures have picked up where they left off on Wednesday, trading lower. The CME Group August contract
XBTU8, -1.85%
 is down 1.5% at $6,905, while the CME September contract
BTCQ8, -1.71%
has lost 1.4% at $6,905.

Read: A B.S. in bitcoin? These colleges are now offering cryptocurrency-related courses

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