Você deve colocar isso dentro de uma diretiva Location:
<VirtualHost *:8080>
<Location /> #the / has to be there, otherwise Apache startup fails
Deny from all
#Allow from (You may set IP here / to access without password)
AuthUserFile /usr/local/etc/httpd/users
AuthName authorization
AuthType Basic
Satisfy Any # (or all, if IPs specified and require IP + pass)
# any means neither ip nor pass
require valid-user
</Location>
...
</VirtualHost>