Bitcoin price rebounds above $82K after dipping below $80K

Bitcoin price has recovered above $82,000 on Friday, October 16, after briefly falling below $80,000, gaining approximately 1.9% over 24 hours as Asian stock markets rebounded from Thursday’s selloff.

CoinGecko recorded BTC trading at $82,034.56, with a market capitalization of approximately $1.649 trillion and $32.88 billion in daily trading volume. The cryptocurrency traded between $79,805.99 and $82,508.10 during the previous 24 hours, recovering after buyers returned near the $80,000 level.

The rebound followed a steep decline triggered by hotter-than-expected U.S. inflation data and renewed selling in technology stocks. BTC had briefly broken below the $80,400 support area defended during previous trading sessions before climbing back above $81,000.

Despite the recovery, BTC remained below $84,000, a resistance level identified by several market analysts. Its weekly performance was nearly unchanged, indicating that the latest advance had not yet reversed the recent period of sideways trading.

Bitcoin price rebounds as Asian stocks recover

Thursday’s selling briefly pushed BTC toward $79,800, placing it below the $80,000 level for approximately two hours. Buyers subsequently drove the price toward $82,500, reversing much of the decline before Asian trading began on Friday.

The recovery coincided with gains across Asian equity markets after a difficult Thursday session. South Korea’s Kospi rose nearly 3%, supported by a rebound in major semiconductor companies, while MSCI’s Asia Pacific equity index advanced approximately 1.3%.

Samsung Electronics and SK Hynix each gained more than 2%, recovering from losses recorded during the previous session. Taiwan Semiconductor Manufacturing remained under pressure, despite issuing an upbeat business outlook, as investors continued reviewing spending commitments across the artificial intelligence industry.

U.S. inflation data had contributed to the earlier selling. September consumer inflation reached 3.7%, exceeding the expected 3.6%, while wholesale inflation rose 6.3% annually, renewing concerns that the Federal Reserve could keep borrowing costs elevated.

As covered in the recent report on Bitcoin’s decline following stronger U.S. producer inflation, September producer prices increased 1.3% month over month, their strongest monthly rise since March 2022.

Bitcoin’s recovery occurred while investors assessed the possibility of additional interest rate increases. U.S. Treasury yields remained elevated, with the benchmark 10-year yield reaching approximately 5.07% as bond prices declined during Friday’s session.

Bitcoin ETFs record modest inflows as Ethereum funds lose capital

Institutional fund activity presented a mixed picture during the latest trading session. According to SoSoValue, U.S. spot Bitcoin exchange-traded funds recorded approximately $5.06 million in combined net inflows.

BlackRock’s iShares Bitcoin Trust (IBIT) led the reported inflows with $16.79 million. The aggregate figure was considerably smaller because other Bitcoin funds recorded withdrawals that offset part of BlackRock’s purchases.

Spot Ethereum ETFs experienced approximately $60.22 million in net outflows during the same session. BlackRock’s iShares Ethereum Trust (ETHA) accounted for $44.39 million of the reported withdrawals.

Earlier this week, analysts examining Bitcoin’s possible decline toward $80,000 after U.S. inflation data identified ETF demand as one factor influencing the cryptocurrency’s ability to maintain support.

ViaBTC analyst Jeff Ko said institutional buying would need to recover to support a sustained rebound. BTSE Chief Operating Officer Jeff Mei separately identified stronger inflation as a risk to Bitcoin’s near-term price performance.

Bitcoin price analysis points to $84,000 resistance

Crypto analyst Daan Crypto Trades identified a recovery from the 0.618 Fibonacci retracement level, a technical measure used to identify possible support during a price correction.

The analyst said BTC had moved back above the $81,500 horizontal level and was approaching its four-hour 200-period moving average and exponential moving average. Both indicators track average price movements and are commonly used to assess the direction of a trend.

Daan described the reaction as strong but warned that BTC needed to remain above $81,500 to preserve its recovery momentum. He identified liquidity above $84,000 as the next area buyers could test if the rebound continued.

Another analyst, Ted Pillows, reported that BTC had recovered from approximately $79,725 to $81,390 before entering a period of consolidation. At the time of his assessment, BTC was trading close to $81,200, where its 50-period simple moving average created another technical barrier.

Pillows noted that roughly $300 million in open interest had returned following the earlier decline. He said a daily close above $81,200 would strengthen the recovery, whereas rejection could bring $80,300 and the $79,700–$80,000 area back into focus.

Meanwhile, Bollinger Band readings placed Bitcoin’s middle band at $83,584, with the upper band at $86,387 and the lower band at $80,781. These levels identify potential trading boundaries based on historical volatility, not guaranteed future prices.

The RSI stood at 48.14, below its moving average of 54.16. The reading indicated that upward price momentum had not yet strengthened sufficiently to move the indicator above its neutral 50 level.

Based on those chart levels, a sustained recovery above $83,584 could bring the upper Bollinger Band near $86,387 into view. A renewed decline below $80,781 would place the recent $79,800 low under pressure, with $78,000 and $76,000 identified as lower support areas.

Bitcoin whale wallets reach record high despite price swings

Blockchain analytics platform Santiment reported that the number of Bitcoin wallets holding between 10 and 10,000 BTC had reached 20,338, its highest recorded level.

Santiment reported that the number of addresses in this category had risen sharply since mid-July, even as Bitcoin experienced repeated price fluctuations.

The firm considers this group an important part of Bitcoin’s holder distribution because it includes addresses controlling substantial amounts of the cryptocurrency. Its analysis suggested that the growth could indicate continued interest from large holders during the recent correction.

However, wallet counts do not necessarily represent the number of individual investors. A single entity may control several addresses, while exchanges and custodians can hold cryptocurrency on behalf of numerous customers.

Santiment described the increasing number of large wallets as encouraging for buyers but acknowledged that Bitcoin could still experience further short-term losses.

The findings arrive as corporate Bitcoin purchases continue. Strategy, the Michael Saylor-founded company formerly known as MicroStrategy, recently acquired another 250 BTC for approximately $21.5 million.

According to Strategy’s latest Bitcoin purchase disclosure, the company held 848,250 BTC as of October 11, acquired for approximately $64 billion, including fees and expenses.

The same disclosure showed that Strategy spent $192.4 million buying back its STRC preferred shares during the week ended October 11, approximately nine times the amount spent on its latest Bitcoin purchase.