bitcoin (BTC អ) failed to react at the March 6 Wall Street open as consensus formed around a potential violation of $20,000.
$19,000 BTC price is “breakdown target”
ទិន្នន័យពី Cointelegraph Markets Pro និង ទិដ្ឋភាពពាណិជ្ជកម្ម tracked a limp BTC/USD as it clung to $22,400 at the time of writing.
គ្មានចលនា throughout the weekend, the pair offered few trading opportunities as concerns built up over the impact of forthcoming macroeconomic data from the United States.
$ BTC ២៤ ម៉ោង
Good luck trading this. pic.twitter.com/nc99kF8HbS
- ចចកនៃផ្លូវទាំងអស់ (@scottmelker) ខែមីនា 6, 2023
Specifically, the February print of the Consumer Price Index (សន្ទស្សន៍ថ្លៃទំនិញប្រើប្រាស់), due March 14, is expected to be “hot,” or above expectations, analyst Venturefounder said.
“New Bitcoin higher low, and the bearish RSI divergence continues,” he សរសេរ in a Twitter update on the day.
“With a hot CPI number coming and FOMC meeting later this month, March could be a bad month for risk-on assets including BTC. A breakdown from this level would target $19k BTC.”
An accompanying chart laid out the potential path to below $20,000 and also highlighted the bearish divergence in Bitcoin’s relative strength index (RSI), formed when the metric’s trajectory runs in the opposite direction to price — downward versus upward, respectively.
CPI prints tend to spark short-term volatility across risk assets, this nonetheless often short lived, with the Bitcoin spot price then returning to previous levels.
Continuing, popular trader Crypto Ed likewise voiced belief in $19,000 marking the next local BTC price floor.
“Biggest bulltrap ever, but the bottom is in. Enjoy the coming months and don’t get fooled on the lower TF’s!” part of Twitter commentary read.
Let’s update this:
$21k before 25k ✅
$25k before 20k ✅
and new:
$23k before 20k
$19k before 30kBiggest bulltrap ever, but the bottom is in.
Enjoy the coming months and don’t get fooled on the lower TF’s! pic.twitter.com/lySuDq5MzH— Ed_NL (@Crypto_Ed_NL) ខែមីនា 6, 2023
U.S. dollar lines up key test
Turning to macro markets, trading resource Game of Trades drew attention to what it called “heavy resistance” on U.S. dollar strength.
ដែលទាក់ទង: តម្លៃ BTC 'នៅក្នុងតំបន់ chop' — 5 រឿងដែលត្រូវដឹងនៅក្នុង Bitcoin នៅសប្តាហ៍នេះ។
Traditionally inversely correlated with Bitcoin, the U.S. dollar index (DXY) now faced a key trend line retest.
“DXY is closing in on a heavy resistance zone after reclaiming the macro uptrend line,” Game of Trades សរសេរ.
“Reaction here will be pivotal for all markets.”
Popular trader Crypto Chase meanwhile saw a tight trading range in place on the S&P 500, mimicking the lack of momentum on Bitcoin.
Currently utilizing the framework discussed in last night’s video. I’m allowing price to do whatever it wants around here.. let it deviate, you’re not missing anything.
A deviation of 4060.75 followed by a reclaim is one entry trigger (denoted by the down arrow on chart).… https://t.co/LA3vCTFuWR pic.twitter.com/ItDw1cUgBb
- គ្រីបក្លូឆេស (@Crypto_Chase) ខែមីនា 6, 2023
Attention was already on the March 7 appearance before the U.S. Congress by Jerome Powell, Chair of the Federal Reserve, for cues on the monetary conditions going forward.
ទស្សនៈគំនិតនិងយោបល់ដែលត្រូវបានបង្ហាញនៅទីនេះគឺជាអ្នកនិពន្ធតែម្នាក់ឯងហើយមិនចាំបាច់ឆ្លុះបញ្ចាំងឬតំណាងឱ្យទស្សនៈនិងទស្សនៈរបស់ Cointelegraph ទេ។
Source: https://cointelegraph.com/news/bitcoin-traders-eye-19k-btc-price-bottom-warn-of-hot-february-cpi