Bitcoin And Inflation: What’s Next For BTC After CPI Rates Came In Lower Than Expected?

0 6

As the highly anticipated Consumer Price Index (CPI) report was released, the cryptocurrency market has been on a rollercoaster ride this week. While the CPI came in lower than expected, indicating a cooling down of inflation, the impact on the market was anything but steady. Bitcoin (BTC) managed to reclaim the $30,000 level, but the question remains: will it continue to soar to new heights, or is a correction on the horizon?

Will Bitcoin Reach New Heights Or Experience A Correction?

Although the report revealed a CPI rate of 5.0%, which was lower than what many had anticipated at 5.2%, Bitcoin’s current price movement and momentum appear weak. Despite the possibility of BTC’s rally continuing, the cryptocurrency has difficulty firmly consolidating above the $30,000 mark.

Despite the lower-than-expected CPI rate of 5.0%, the Core CPI, which excludes food and energy costs, has increased from the previous month, indicating that inflation may not be easing as quickly as anticipated. 

However, Michael Van de Poppe, a prominent crypto analyst, has recently highlighted the impressive performance of Bitcoin in comparison to other assets in a recent newsletter, which has resulted in the underperformance of other cryptocurrencies in the industry.

Bitcoin

knife

Van de Poppe has highlighted the BTC.D chart on a 2-day time frame as being at a critical juncture. He suggests that Bitcoin’s strength could continue to increase if there is a successful breakout and BTC experiences a bullish continuation following a retest of the range high. On the other hand, if the market surpasses the range high and then retreats into the range, it may present opportunities for altcoins to gain momentum

Furthermore, according to Van de Poppe’s analysis, a drop in the price of Bitcoin within the range of $28,400 to $28,800 could positively impact the overall price movement of the cryptocurrency. This particular zone may serve as a robust support level, as it was previously a significant obstacle to overcome but has now transformed into a crucial threshold for BTC.

At the time of writing, Bitcoin is trading at $29,950 and has been moving sideways for the past 24 hours, experiencing a slight decline of 0.8%. However, if BTC can withstand a possible pullback toward the $28,600 zone, it could regain its bullish momentum and reach a new yearly high.

On the other hand, if BTC cannot maintain its position and falls below this level, it may experience a further retracement toward the $27,200 zone. This level could prove significant, as a successful bounce back from this point could help Bitcoin consolidate above $30,000. 

Bitcoin

Featured Image from Unsplash, chart from TradingView.com

Leave A Reply

Your email address will not be published.

bitcoin
Bitcoin (BTC) $ 40,831.94
ethereum
Ethereum (ETH) $ 2,194.83
tether
Tether (USDT) $ 0.999892
bnb
BNB (BNB) $ 240.79
xrp
XRP (XRP) $ 0.614291
solana
Solana (SOL) $ 68.77
usd-coin
USDC (USDC) $ 0.988904
staked-ether
Lido Staked Ether (STETH) $ 2,195.04
cardano
Cardano (ADA) $ 0.538468
dogecoin
Dogecoin (DOGE) $ 0.094006
avalanche-2
Avalanche (AVAX) $ 36.16
tron
TRON (TRX) $ 0.103117
polkadot
Polkadot (DOT) $ 6.55
chainlink
Chainlink (LINK) $ 14.60
matic-network
Polygon (MATIC) $ 0.827854
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 40,834.94
shiba-inu
Shiba Inu (SHIB) $ 0.000009
dai
Dai (DAI) $ 0.999898
litecoin
Litecoin (LTC) $ 71.92
uniswap
Uniswap (UNI) $ 5.98
bitcoin-cash
Bitcoin Cash (BCH) $ 227.89
leo-token
LEO Token (LEO) $ 3.89
okb
OKB (OKB) $ 57.54
stellar
Stellar (XLM) $ 0.122388
monero
Monero (XMR) $ 169.02
ethereum-classic
Ethereum Classic (ETC) $ 19.85
cosmos
Cosmos Hub (ATOM) $ 9.63
true-usd
TrueUSD (TUSD) $ 0.998017
kaspa
Kaspa (KAS) $ 0.11726
crypto-com-chain
Cronos (CRO) $ 0.096864
immutable-x
Immutable (IMX) $ 1.95
hedera-hashgraph
Hedera (HBAR) $ 0.069443
internet-computer
Internet Computer (ICP) $ 5.14
near
NEAR Protocol (NEAR) $ 2.21
filecoin
Filecoin (FIL) $ 4.57
aptos
Aptos (APT) $ 7.68
optimism
Optimism (OP) $ 2.27
lido-dao
Lido DAO (LDO) $ 2.26
injective-protocol
Injective (INJ) $ 23.84
vechain
VeChain (VET) $ 0.026593
bittensor
Bittensor (TAO) $ 309.08
mantle
Mantle (MNT) $ 0.575003
thorchain
THORChain (RUNE) $ 5.76
elrond-erd-2
MultiversX (EGLD) $ 60.54
quant-network
Quant (QNT) $ 109.55
algorand
Algorand (ALGO) $ 0.18946
celestia
Celestia (TIA) $ 10.39
binance-usd
BUSD (BUSD) $ 1.01
havven
Synthetix Network (SNX) $ 4.48
the-graph
The Graph (GRT) $ 0.155702
render-token
Render (RNDR) $ 3.82
arbitrum
Arbitrum (ARB) $ 1.08
aave
Aave (AAVE) $ 90.28
rocket-pool-eth
Rocket Pool ETH (RETH) $ 2,403.27
bittorrent
BitTorrent (BTT) $ 0.000001
blockstack
Stacks (STX) $ 0.903066
maker
Maker (MKR) $ 1,383.03
wemix-token
WEMIX (WEMIX) $ 3.45
flow
Flow (FLOW) $ 0.754855
kucoin-shares
KuCoin (KCS) $ 11.21
first-digital-usd
First Digital USD (FDUSD) $ 1.00
the-sandbox
The Sandbox (SAND) $ 0.499182
theta-token
Theta Network (THETA) $ 1.04
terra-luna
Terra Luna Classic (LUNC) $ 0.000176
fantom
Fantom (FTM) $ 0.35606
ordinals
ORDI (ORDI) $ 45.48
bitcoin-sv
Bitcoin SV (BSV) $ 48.10
axie-infinity
Axie Infinity (AXS) $ 7.03
gala
GALA (GALA) $ 0.029876
decentraland
Decentraland (MANA) $ 0.480166
eos
EOS (EOS) $ 0.756963
neo
NEO (NEO) $ 11.65
whitebit
WhiteBIT Coin (WBT) $ 5.65
iota
IOTA (IOTA) $ 0.268793
beam-2
Beam (BEAM) $ 0.017467
mina-protocol
Mina Protocol (MINA) $ 0.801431
klay-token
Klaytn (KLAY) $ 0.236071
kava
Kava (KAVA) $ 0.757905
tezos
Tezos (XTZ) $ 0.859334
usdd
USDD (USDD) $ 0.989602
bonk
Bonk (BONK) $ 0.000011
bitget-token
Bitget Token (BGB) $ 0.486637
cheelee
Cheelee (CHEEL) $ 12.51
xdce-crowd-sale
XDC Network (XDC) $ 0.048272
ecash
eCash (XEC) $ 0.000034
frax-ether
Frax Ether (FRXETH) $ 2,182.60
frax
Frax (FRAX) $ 1.00
frax-share
Frax Share (FXS) $ 8.56
tokenize-xchange
Tokenize Xchange (TKX) $ 8.05
sui
Sui (SUI) $ 0.619052
helium
Helium (HNT) $ 4.39
chiliz
Chiliz (CHZ) $ 0.082243
pancakeswap-token
PancakeSwap (CAKE) $ 2.40
gatechain-token
Gate (GT) $ 4.56
conflux-token
Conflux (CFX) $ 0.172024
pyth-network
Pyth Network (PYTH) $ 0.406352
curve-dao-token
Curve DAO (CRV) $ 0.649639
apecoin
ApeCoin (APE) $ 1.61
illuvium
Illuvium (ILV) $ 96.90
pepe
Pepe (PEPE) $ 0.000001