- Over one million users bought BTC at $94K, making it a strong support for an upside move.
- But a sharp BTC pullback can’t be overruled, as key metrics flashed red flags.
Despite recent sell-offs, Bitcoin [BTC] has marked $94K as key support and was valued at $98K ahead of key US inflation data (CPI).
This week’s key macro updates, from inflation to labor markets, could trigger wild price swings as the data points will determine the pace of Fed interest cuts from the 18th of December. The market was currently pricing a 25bps interest rate cut.
Another BTC crash?
Source: BTC/USDT, TradingView
Interestingly, BTC still held the short-term channel and the $94K aligned with the range lows. Will it hold or crack post-CPI data?
According to BTC trader Skew, there was strong demand between $90K and $95K, suggesting that BTC might have stabilized at these levels with $97K as an equilibrium point. Part of his analysis read,
“I think the market is or has found its equilibrium here…The market continues to add bid liquidity around current lows $95K – $90K as well passive buying is present in these two sweeps so far.”
