(Bloomberg) -- Cryptocurrencies mirrored global markets and drifted mostly lower, with Bitcoin settling into the narrow range that it has traded within this week.
The largest cryptocurrency by market value slumped as much as 2.4% to $21,125 in New York. It has traded in a range of around $22,000 to $20,000 since last Friday. Ether fell for the first time in four trading sessions. Solana and Avalanche fell more.
Some analysts say that the recent trading patten presents a buying opportunity.
Onchain metrics “signal that the price is at the accumulation zone, which has been historically market bottom formations and value investing,” CryptoQuant said in a report Thursday.
US equity futures pared declines and the dollar dropped Friday as as data appeared to confirm that price pressures are cooling ahead of Federal Reserve Chair Jerome Powell’s much anticipated speech at Jackson Hole.
Ether has been outperforming the broader crypto market in recent weeks amid optimism over a pending network software upgraded called the Merge.
“Ethereum has outperformed Bitcoin in recent weeks after the pull back. Hence, traders are lightening up some position (taking profit) ahead of Powell’s speech,” said Teong Hng, chief executive at crypto investment firm Satori Research. “Ether’s underperformance today should be temporary in nature. At least until the Merge happens, which could potentially result in profit taking.”