Bitcoin (BTC) hit $24,000 at the Wall Street open on Feb. 16 after fresh macro data from the US topped estimates.
Hot data on the US producer price index “stirred” the markets
Data from Cryptooshala Markets Pro and trade view showed BTC/USD retracing some of its recent gains for the day, trading on Bitstamp at around $24,400 at the time of writing.
The pair reached $24,895 overnight on Bitstamp, marking its highest level in six months as the unexpected rally took many traders by surprise.
Two days before February 16, short positions totaled $80 million. liquidated Bitcoin only: $65 million will arrive on Feb. 15, the most in a single day since Jan. 20.
The US Producer Price Index (PPI) for January, however, dampened some of the hype in risky assets as it showed prices rose more than expected year on year.
At the time of writing, the S&P 500 and Nasdaq Composite are down 1.1%.
“Some Signs of Economic Weakness in Today’s Macro Data,” Investment Research Resource Game of Trades. wrote in response to the Twitter reaction, it also notes that the unemployment data came in below the expected 200,000 claims for the week.
Markets were rocked by hot data on the US Producer Price Index. The US PPI for January was hot (hotter than the CPI a few days ago), news-led +0.7% m/m vs. +0.4%, PPI y/y at 6% vs. expected 5 ,4%. The core US producer price index also disappointed: +0.6% m/m against the expected +0.2%, 4.5% y/y against the expected 4%. pic.twitter.com/IE7SWvcM8Q
— Holger Zschepitz (@Schuldensuehner) February 16, 2023
Following the fall in equities, the US dollar index (DXY) strengthened again, climbing above 104.1 to its highest level since the first week of the year.
“Everything is still going perfectly as expected as we see the breakout and reversal of the D1 downtrend, as well as the 200-day D1 EMA around 104.5-104.7, as discussed in the last couple of weeks,” wrote the popular trader Pierre in his report. update to events.
What’s in the cross of death
Meanwhile, Bitcoin has run into its own key moving averages in the form of the 50-week and 200-week trendlines, which have just printed their first-ever death cross as a warning to bulls.
Why did the price of bitcoin rise today?
However, Cryptooshala contributor Mikael van de Poppe had reason not to pay too much attention to the post-2022 bear market phenomenon.
“The death cross only happens based on historical price events,” he said. said Followers on Twitter, February 15th.
“The entire bear market of last year has finally come to this crossover. The best thing to do with such things is to buy rather than sell.”
Fellow Crypto trader Tony summarized sentiment among more conservative market participants.
In an update after recent local highs, he argued that a lot depends on the behavior of Bitcoin around $25,000.
“My main target on this 5th wave is $25,000 as that is also the previous untapped swing high,” he explained along with the chart.
“From here, we’ll get more insight into whether we’re really in a flat bearish correction, or if this is the start of something more exciting.”
The views, thoughts and opinions expressed here are those of the authors only and do not necessarily reflect or represent the views and opinions of Cryptooshala.
Credit : cointelegraph.com
