Bitcoin (BTC) slipped below $82,000 after Monday's Wall Street open as cryptocurrency diverged from a rebound in United States equities and bond yields.

Key points:

• Bitcoin gave up its early-week gains as ask liquidity amassed above $83,000 across exchanges.
• The Nasdaq Composite Index followed Asian equities higher, gaining 1.5% in the first hours of Monday trading.
• US bond yields continued to move in lockstep with stocks, with the 10-year yield back at 5.13% ahead of major corporate earnings announcements.

Bitcoin treads water as stocks, bond yields rebound

Data from TradingView showed BTC/USD dipping to $81,678 on Bitstamp after reaching $83,062 earlier in the day.

Both Asian and US equities rallied to start the week, helping to recoup losses from the week prior as selling pressure on tech stocks eased. South Korea's tech-heavy KOS Composite Index finished the day 1.76% higher at 5,768 points, while the Nasdaq Composite Index was up 1.5% at the time of writing.

Continuing a pattern observed in recent weeks, US bond yields rose in lockstep with equities ahead of anticipated strong corporate earnings from tech giants. Several of these results are due for release on Tuesday and Wednesday, including Meta, SpaceX and Tesla. The US 10-year and 30-year yields reached 5.13% and 5.46%, respectively.

In its latest analysis, trading firm QCP Capital saw bond-market stability as key to Bitcoin's upside momentum, while warning that BTC could suffer a repeat of the prior week's tech-stock sell-off.

“Broader equity deleveraging dynamics could transmit to cryptocurrency markets and potentially threaten the $80,000 support level if sustained. Conversely, a sustained Treasury rally could provide support for risk assets, particularly if accompanied by declining real yields and a weaker US dollar,” the firm wrote.

$83,000 sellers keep BTC price in check

On lower time frames, Bitcoin's price action encountered friction after ask liquidity thickened above $83,000 on exchange order books. In practical terms, such an ask wall is a stack of pending sell orders sitting at a single price, and buyers must absorb that supply before a move through the level can continue.

Related: Stocks rebound into key tech earnings: Three things to know in Bitcoin this week

Data from CoinGlass showed the wall of asks pressuring BTC/USD lower, while 24-hour cross-crypto liquidations totaled $335 million. Liquidations occur when exchanges forcibly close leveraged positions because a trader's remaining margin can no longer support them.

Amid the rangebound conditions, onchain analytics platform CryptoQuant showed Bitcoin whales reducing activity. The Binance whale ratio, which records the share of the 10 largest inflow transactions relative to total inflows, fell to 0.45 from 0.54 at the start of October.

“The decline in the Whale Ratio indicates that the proportion of large BTC deposit transactions relative to total exchange inflows is decreasing, potentially reflecting shifts in whales' trading strategies and asset management activities,” CryptoQuant summarized.

This article was originally published by Cointelegraph.