Bitcoin (BTC) surged nearly 4%, as investors stepped in to prevent prices from slipping toward their weekly lows.
According to data from Cointelegraph Markets Pro and TradingView, Bitcoin was working hard to regain a crucial support level around $95,000.
Market Sentiment and Economic Data
This recent uptick in Bitcoin’s value coincided with the release of significant economic data from the United States, which met market expectations.
Key updates included figures on jobless claims and the Federal Reserve’s preferred inflation measure, the Personal Consumption Expenditures (PCE) Index.
These developments contributed to a slight lift in market sentiment about a possible future reduction in interest rates.
Notably, the CME Group’s FedWatch Tool suggested a compelling 66% probability that the Fed might implement a 0.25% rate cut soon.
However, amidst this cautious optimism, The Kobeissi Letter—a trading research resource—raised alarms about growing inflationary pressures.
Their analysis challenged the prevailing beliefs about a shift in the Federal Reserve’s monetary policy direction.
Despite these concerns, Bitcoin demonstrated resilience, bouncing back from earlier losses this week.
Market Dynamics and Trading Activity
Trader Skew highlighted intriguing patterns in the market, observing that passive buyers were taking advantage of lower price points.
He noted the order book liquidity remained robust, with demand clustering around the $85,000 mark.
Skew also pointed to shifts in the order book that influenced recent price dips.
Opinions among market watchers about Bitcoin reaching the coveted $100,000 target proved mixed.
The monitoring platform CoinGlass indicated substantial selling pressure at this psychologically significant level, suggesting sell orders were strategically placed to hinder upward momentum.
Future Perspectives on Bitcoin
In contrast, many Bitcoin proponents maintained an optimistic stance.
Twitter account Bitcoin Munger, dedicated to cryptocurrency insights, expressed unwavering confidence in an upcoming rise to $100,000, citing a bullish crossover expected in the 4-hour MACD indicator.
Another trader, known as Roman, reflected on the market’s recent recovery.
He noted that as discussions of a $70,000 price point gained traction, it became clear that an upward trend was on the horizon.
Roman emphasized the prevailing bullish sentiment, urging others to reconsider overly cautious views and embrace a more positive outlook.
Source: Cointelegraph
