The price of Bitcoin (BTC) broke above $11,000 at last, after 13 days within a tight range. But this time, the market dynamic is different because Ether (ETH) and most decentralized finance tokens are declining.
As Bitcoin rose to as high as $11,024 on Coinbase on Sept. 16, Ether, DeFi tokens and the majority of altcoins stayed stagnant. The contrasting performances between Bitcoin and the rest of the market make the ongoing BTC rally unique.
Some traders suggest that profits from Ether and DeFi tokens are being cycled into Bitcoin. Others have hinted that MicroStrategy’s bulk purchase of BTC led the spot prices of the dominant cryptocurrency to increase. MicroStrategy purchased an additional $175 million worth of BTC, which would add $7 billion to BTC’s market capitalization, as on-chain analyst Willy Woo noted. In the spot market, an order that exceeds $100 million could trigger a slippage of over 3%. Denis Vinokourov, head of research for digital asset