Bitcoin Shows Gradual Progress Towards $31,000 as Traders Await CPI Release

Bitcoin Shows Gradual Progress Towards $31,000 as Traders Await CPI Release

Bitcoin (BTC) has been steadily making progress towards the $31,000 mark, drawing attention from traders and analysts who eagerly awaited the release of the United States Consumer Price Index (CPI) for June. Despite its gradual rise, BTC exhibited minimal volatility at the beginning of the week, with clearly defined local range highs and lows.

Traders were cautious of the potential for flash volatility, which could deceive market participants. However, historical data has shown that Bitcoin tends to determine its trajectory shortly after the release of economic data. This means that although there might be initial fluctuations, the real direction for the day is often chosen after this period of volatility.

Some analysts predicted the possibility of a “Darth Maul” candle, where both high and low timeframes experience significant fluctuations immediately after the CPI release. However, based on previous data, it is expected that the price will eventually revert back to its pre-CPI release level. This pattern has been observed in the four previous CPI data releases, indicating a recurring trend.

Taking a longer-term perspective, popular trader Moustache considered the potential for a classic bull run to repeat itself. Moustache analyzed the BTC/USD monthly chart and noted that it was on the verge of breaking out above its 20-period simple moving average (SMA). Historically, whenever Bitcoin closed above this line on a monthly basis, it confirmed the start of a bull run. Moustache pointed out that in the following two years, Bitcoin never dropped below this line, with the exception of the COVID-19 crash. This current situation was seen as favorable, leading to optimism about Bitcoin’s future performance.

In a unique initiative, readers were offered the opportunity to collect this article as a non-fungible token (NFT). This NFT represents a unique digital item that can be preserved and owned by individuals, symbolizing their support for independent journalism in the crypto space. By acquiring this NFT, readers capture the relevance and importance of this article in the ever-changing landscape of Bitcoin and the cryptocurrency industry.

Bitcoin’s steady progress towards the $31,000 mark has attracted the attention of traders and analysts. With the release of the US CPI data, market participants eagerly awaited clues about Bitcoin’s future trajectory. Despite possible flash volatility, historical patterns suggest that the price will ultimately revert back to pre-release levels. Additionally, the possibility of a classic bull run repeating itself adds to the optimism surrounding Bitcoin’s performance. Finally, the offer to acquire this article as an NFT allows readers to support independent journalism and preserve its unique relevance in the crypto space.


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