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  • Analyst says CPI could be big market mover

    Analyst says CPI could be big market mover

    • Bitcoin price hovers above $28k with a ranged trading over the past month.
    • Analyst Michael van de Poppe says the US consumer price index report out this week could be a big market mover.
    • Bitcoin’s volume weighted average price (VWAP) is a metric to also watch.

    Bitcoin price continued its ranged trading this past weekend, with bulls retesting the $28,500 area. As the week starts, the top cryptocurrency could see an injection of volatility.

    Indeed, crypto analyst Rekt Capital says bitcoin remains “well positioned for mid- to long-term upside”, particularly as the cryptocurrency moves towards its next halving event. 

    But what about the next few days? Below is what analysts say about Bitcoin price this week.

    Bitcoin price prediction ahead of CPI data this week

    According to crypto analyst Michael van de Poppe, BTC is still in consolidation – which has stretched from around mid-March. But with big economic news on the cards this week, the market could be in for a bit of movement.

    In a comment on Bitcoin price he shared on Monday, van de Poppe said the upcoming Consumer Price Index (CPI) data expected on 12 April is a “big event this week.” 

    If buyers manage to retest the $28,600 level, its likely BTC will break higher.

    “Bitcoin is still stuck in the range. Good move overnight to $28,500 and back to consolidation. Big event this week with CPI, probably the market mover. If another test of $28,600 takes place, I’m assuming we’ll be breaking out upwards,” the analyst noted.

    Here is the analyst’s Bitcoin price chart.

    Trading volume metric and BTC price outlook

    Pseudonymous analyst bitcoindata21 also says the CPI news this week will likely be a major market catalyst. However, he also highlights Bitcoin’s Volume Weighted Average Price (VWAP), which he says currently sits on the benchmark cryptocurrency’s all-time highs.

    VWAP takes into account the average price of a trading asset as weighted by its total trading volume. 

    The metric helps analyse and forecast price movement based on the average value over a given period. In this case, bitcoindata21 highlights the 30-day VWAP on 15 April, with a potential upward crossing on 13 April.

    The chart below bitcoindata21 shared on Twitter shows a comparison of the 2019 and 2023 price movements.

    Bitcoin price VWAP historical data outlook comparing 2019 and 2023. Source: bitcoindata21 on Twitter.


    The 1-month sideways trading along the VWAP is similarly positioned as was in 2019 before BTC went on to hit a new all-time in the last bull market.

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  • Bitcoin price surges to $26K as bulls react to CPI data

    Bitcoin price surges to $26K as bulls react to CPI data

    • Bitcoin price hit highs of $26,553 on Coinbase, with 16% upside in 24 hours.
    • US inflation data showed CPI rose 6% in the past 12 months in February.
    • On-chain data suggests BTC price could rally to $30,000 in the short term.

    Bitcoin rose sharply on Tuesday, breaking past $26,000 as the crypto market reacted positively to the latest Consumer Price Index (CPI) data by the US Department of Labor.

    Bitcoin breaks $26k amid market reaction to CPI data

    According to data from TradingView, the price of Bitcoin spiked 16% to highs of $26,553 on the cryptocurrency Coinbase. 

    Bitcoin price rallied above $26,000 on Tuesday. Chart courtesy of TradingView

     As noted yesterday, BTC price soared from lows of $20,000 to break above $24,000 – the bullish sentiment buoyed by the US government’s actions in the wake of Silicon Valley Bank’s collapse.

    On-chain data shared by market research platform IntoTheBlock shows Bitcoin faces minimal selling pressure to around $30,000.

    The aggregate market data from CoinGecko showed the total crypto market cap has surged by more than 14% as major altcoins like Ethereum and BNB hit highs of $1,750 and $315 respectively.

    Per the US Department of Labor, CPI rose 0.4% in February and 6% over the last year to align with market expectations. Notably, the data showed US inflation had increased at its slowest pace since September 2021. The core CPI, which strikes off the more volatile food and energy items, increased by 5.5% to also fall within expectations.

    Stocks also opened higher on Tuesday, with the S&P 500 up 1.5% as investors turned attention to the Federal Reserve and its interest rates path. Market analyst Carl Quantanilla points out this scenario.

    The Dow Jones Industrial Average had added 320 points, or 1%, while the Nasdaq Composite was up 1.7% at 9:50 am ET.

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  • Bitcoin, stocks swing as markets react to CPI data

    Bitcoin, stocks swing as markets react to CPI data

    • Bitcoin price was trading sideways after hitting highs of $22,300, with major US indexes also down.
    • The markets’ reaction comes after hotter-than-expected inflation data for the first month of 2023.
    • US CPI rose 0.5% over the month and 6.5% year-over-year.

    Bitcoin was holding just above $22,000 at around 11:00 am ET, with the flagship cryptocurrency having swung from highs of $22,300 as the broader crypto market mirrored Wall Street following Tuesday’s US inflation data.

    Across crypto, Ethereum first ticked closer to $1,570 across major exchanges, rising as much as 5% before the upside cooled to see ETH trade near $1,540 at the time of writing. A similar picture held for Binance Coin, with BNB nearing $300 with about 3.5% in gains before shedding some of the gains.

    The action across US stocks also had the major indexes in the green premarket, before broader reaction to consumer price data released on Tuesday saw the major indexes trade lower.

    The S&P 500 rose nearly 0.7% but had flipped negative after the latest Consumer Price Index (CPI) data from the US Bureau of Labor Statistics showed inflation picked up over the past one month after consecutive months of declines. The S&P 500 was down 0.6% at the time of this report.

    The outlook was similar for the Dow Jones Industrial Average and the Nasdaq Composite, which were down about 0.8% and 0.6% respectively.

    Markets react to January CPI data

    On Tuesday morning, the US government’s data on inflation showed consumer prices rose 0.5% in January and 6.4% over the past twelve months, higher than the forecast 6.2%. 

    Even for the Core CPI, which leaves out the more volatile food and energy components, the readings were 0.4% in January and 5.6% year-over-year.

    The data thus showed inflation had picked up in the first month of 2023, coming in hotter than economists expected, with Wall Street reacting lower on the news as investors weigh what this means for the Fed’s interest rates path. Market observers say this could point to a higher for longer path that the Fed has previously pointed out.

    Tim Seymour, the CIO of Seymour Asset Management certainly thinks this could be on the cards now.

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