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This Might Be Setup for Bitcoin Price as Community Awaits Key Inflation Decisions

Mon, 07/11/2022 - 11:00
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Tomiwabold Olajide
Few crypto analysts remain optimistic about Bitcoin's price action
This Might Be Setup for Bitcoin Price as Community Awaits Key Inflation Decisions
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According to Santiment, Bitcoin's social sentiment is seeing an unprecedented level of optimism going into the second half of July as the community awaits key inflation data. The on-chain analytics firm suggested that an ideal setup might be for the crowd to remain skeptical while prices rise with little or no resistance.

Few crypto analysts remain optimistic about Bitcoin’s price action ahead of the release of the CPI data.

For cryptoanalyst Ali Martinez, "The TD Sequential presents a buy signal on the BTC four-hour chart. If the 100-hour MA at $20,400 holds, BTC could rebound towards the 200-hour MA at $21,900. Failing to hold above 100-hour MA can trigger a downswing to $19,900."

Lark Davis, an analyst tweeted "bitcoin higher highs and higher lows... Potential start to an uptrend?  Don't get too excited about anything until we get the CPI data on the 13th. Sadly, macro still dictates the crypto market!"

The expected U.S. consumer price index report for July 13 will be closely watched by traders this week. U.S. inflation is predicted to rise to 9%, a new four-decade high, supporting the Federal Reserve's case for a significant interest-rate increase in July.

Monday saw a decline in both European markets and U.S. equity futures as investors awaited the crucial second-quarter earnings season for clues about how businesses are coping with the inflationary maelstrom. Price pressures, a wave of monetary tightening and a faltering global economy continue to shadow the markets.

Crypto market price action

The cautious start to the week in global markets drew the attention of Bitcoin, which is set to mark the fourth day of losses but maintained a price over $20,000. BTC was trading at $20,371 at the time of writing, down 3.81% from the previous day.

After losing 3.59% of its value in the early hours of Monday, Ethereum has dropped to below $1,200. At the time of publication, several cryptocurrencies were losing value. Dogecoin, Tron and Solana all had declines of 4.16%, 3.74% and 5.05%, respectively, over the last 24 hours.

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About the author

Tomiwabold is a cryptocurrency analyst and an experienced technical analyst. He pays close attention to cryptocurrency research, conducting comprehensive price analysis and exchanging predictions of estimated market trends. Tomiwabold earned his degree at the University of Lagos.