Bitcoin (BTC) recovered above $41,000 at the Wall Street open on December 13 as attention focused on the U.S. Federal Reserve (Fed).
The PPI target is achieved just hours before the Fed interest rate change.
Data from Cointelegraph Markets Pro and TradingView shows that BTC price strength is gaining momentum in the latest US macro data release.
The lower-than-expected producer price index (PPI) in November strengthened the existing narrative of declining inflation. Consumer price index (CPI) data were less encouraging but did not cause new pain for risk assets.
“This is the lowest PPI inflation figure since December 2021.” Trading Resources The Kobeissi Letter wrote This is part of the response to X (formerly Twitter).
“Since the last Federal Reserve meeting, we have seen several rounds of favorable inflation. “Today all eyes are on the Federal Reserve and potential hints of a ‘Fed pivot.’”
Kobeissi mentioned the main macro events of the week: the Federal Open Market Committee (FOMC) meeting and the decision to change interest rates. This decision is scheduled to be made at 2 PM (Eastern Time), and Federal Reserve Chairman Jerome Powell is scheduled to hold a press conference at 2:30 PM.
While both events tend to spark temporary volatility in cryptocurrencies and beyond, Bitcoin’s own reaction to macro data has remained muted.
At the time of writing, markets were confident there would be no interest rate change as a result of the FOMC meeting, according to data from the CME Group FedWatch tool.
Traders pay attention to key BTC price levels for “action”.
Meanwhile, the short-term BTC price action lacked a clear trend.
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Existing support and resistance levels remained intact and popular trader Jelle also reiterated the importance of the $48,000 overhead.
“Although the lower period appears choppy, Bitcoin appears to be reversing the mid-level. $48,000 is still a key level to overcome. After that, price discovery is within reach,” he said. said There are X number of subscribers that day.
The day’s analysis included predictions of further sideways moves, with Jelle betting on “mostly downside moves.” overpast For Bitcoin.
Looking at liquidation levels, fellow trader Daan Crypto Trades has noticed an increase in leveraged betting in zones where spot prices are currently liquidating.
“As it moves sideways, it is building a large liquidation cluster.” wrote With data from statistical resource CoinGlass.
“The most notable ones are $40.5K and $41.4K. Expect action on that level.”
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.