. Daily Crypto Analysis - Investors Anticipate Bitcoin Pullback as CPI Hits 3.7%

Daily Crypto Analysis – Investors Anticipate Bitcoin Pullback as CPI Hits 3.7%

Daily Crypto Analysis – Investors Anticipate Bitcoin Pullback as CPI Hits 3.7%

13 Oct 2023

Introduction:

Bitcoin faces a daunting scenario as it grapples with a nearly 5% price decline, igniting a sense of pessimism in the crypto market. With search trends pointing toward bear markets, inflation, and CPI, Bitcoin’s prospects appear to lean towards a pullback, causing concern for bearish traders who’ve seen repeated breakout attempts falter. Furthermore, the US Consumer Price Index (CPI) exceeding expectations has intensified concerns about potential Fed interest rate hikes, echoing the broader sentiment of uncertainty in the crypto landscape. In this dynamic crypto market, Ethereum and XRP also confront unique challenges, reflecting the complexities of the digital asset world.

Bitcoin:

After another failed breakout, Bitcoin likely to pull back, CPI beats expectations at 3.7%.

This week’s nearly 5% decline in the price of bitcoin has caused a wave of pessimism to sweep through the market.

According to sentiment’s mid-term trends, searches related to bear markets, inflation, and CPI is trending.

If past performance is any indication, the price of bitcoin (BTC) is probably going to retrace, which will hurt bear sellers after several unsuccessful breakout attempts.

Meanwhile, the US Consumer Price Index (CPI) coming in above expectations has inspired a fresh wave of bearish sentiment across the market. The report on the Thursday CPI reading has reignited speculations for another interest-rate hike by the US Federal Reserve (Fed). It came above the 3.6% estimate, recording 3.7% YoY, an unchanged reading from August.

Technical Overview:

Moving Averages:

Exponential:

  • MA 5: 26820.33 | Negative Crossover | Bearish
  • MA 20: 27168.83| Negative Crossover | Bearish
  • MA 50: 27165.93| Negative Crossover | Bearish

Simple:

  • MA 5: 26781.57 | Negative Crossover | Bearish
  • MA 20: 27379.86| Negative Crossover | Bearish
  • MA 50: 27233.60 | Negative Crossover | Bearish

RSI (Relative Strength Index): 37.88| Sell Zone |Bearish

Stochastic Oscillator: 11.85 | Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 27478.08| R2: 28355.90
  • S1: 26676.22 | S2: 25631.92

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Stop Sell: 26340.55 | Take Profit: 25631.92 | Stop Loss: 26918.64.

Elsewhere In the Crypto Market

Ethereum struggles due to pressure from whale unloading and supply inflation. Price of XRP breaks its upward trend as average investor engagement hits a monthly low.

Bitcoin up (0.03%) at 26763.00, Ethereum up (0.31%) at 1,544.4, Litecoin up (0.34%) at 61.29, Solana up (0.28%) at 21.40, Doge coin up at (0.03%) at 0.57 as of writing time.

Key Economic Events & Data Release Today:

(EUR) ECB President Lagarde Speaks at 18:30.

(GBP) BoE Gov Bailey Speaks at 13:30.