- Bitcoin recorded an impressive upside as the U.S economic indicators offer the cryptocurrency market essential support.
- Softer U.S inflation numbers eased 75bp rate hike bets, increasing risky assets demand.
- The bullish session saw the BTC fear & green index jumping to 41/100 from 31/100, supporting Bitcoin’s upside.
Wednesday sessions saw Bitcoin gaining 3.47% to reverse the previous day’s 2.78% decline, and BTC closed the day near $23,650. Meanwhile, bearishness early on the day had the bellwether crypto exploring the $22,675 lows.
Meanwhile, the crypto secured a foothold at $22,717 before exploding to $24,217. Nevertheless, this first massive resistance at $23,760 led to the day close at $23,960.
U.S inflation numbers triggered a breakout session for Bitcoin and the overall cryptocurrency market. Softer inflation trimmed the probability of a 75bp rate increase come September. Markets reacted to the CPI by adjusting bets to 50bp, a positive hike for risky assets.
Such environments would see BTC opening the path toward the $25K mark. Meanwhile, today’s United States jobless claims and wholesale inflation will offer more direction for the market. Softer wholesale inflation plus stable jobless claims would mean optimism for the crypto market.
U.S CPI Sees BTC Fear & Greed Index Rebounding to 41/100
Today’s session had the Fear and Greed index jumping to 41/100 from 31/100. That reversed Tuesday’s drop to 31/100 from 42/100. Meanwhile, market response to the United States July CPI figures supported a Bitcoin return to $24K and Index to 41/100.
The index’s return to 41/100 leaves it at the neutral zone’s border. Remember, it has never visited this area since 6 April. Dipping into the Neutral region would support BTC’s move past $25K and open the path to $30K. As mentioned above, U.S wholesale inflation data and jobless claims will determine upcoming tendencies.
BTC Price Action
While publishing this post, Bitcoin traded at $24,620, gaining more than 7% within the past 24 hours (Coinmarketcap data). Meanwhile, range-bound actions early on the day saw Bitcoin declining to the $23,953 lows before surging.
The crypto seems ready to explore the $25K resistance before climbing towards the hurdle at $25,160. Bitcoin will encounter another obstacle at $26,701. On the other part, losing the $23,019 pivot would trigger downsides.
Stay tuned for upcoming crypto developments.