Analysts Warn of Potential Bitcoin Pullback Ahead of CPI Release
Bitcoin (BTC) has recently seen a pullback, dropping to $87,500 at the time of writing, after touching a high of a little over $90,000.
This dip comes after a bullish streak spurred by positive market sentiment and the U.S. election results, but analysts now anticipate a correction ahead of the November 13 Consumer Price Index (CPI) report.
Market analysts warn that this influx of crypto investment could hint at a short-term pullback, with CPI data potentially adding to downward pressure.
Michaël van de Poppe, founder of MNConsultancy, predicts Bitcoin may retrace about 10% before the CPI release.
READ MORE:
Here’s Why Bitcoin Could Easily Surpass $100,000 in the Coming MonthsHe expects the price could drop to the 38.2% Fibonacci level, possibly reaching between $75,669 and $81,193, with support around $66,729 and liquidity at $64,130. Van de Poppe views this correction as a healthy pause before Bitcoin’s continued rally.
#Bitcoin is up to $90,000 and I think we’re about to get started with the markets.
The sweet spot is having a 10% correction towards the CME gap before we continue.
I’m slightly bearish going into CPI tomorrow. pic.twitter.com/dfpUc2df1k
— Michaël van de Poppe (@CryptoMichNL) November 12, 2024
Binance co-founder Changpeng Zhao (CZ) also highlighted the possibility of volatility near Bitcoin’s all-time highs last week.
Bitcoin’s technical indicators suggest overbought conditions. Trading above its upper Bollinger Band and with an RSI of 75.20 (above the typical 70 threshold for overbought status), the asset may face downward pressure soon.n.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Nexus Ecosystem: The DeFi Goldmine in the New Market Cycle

After a 1460% Surge: Re-examining the Value Foundation of ZEC
Are ZEC's miner economic model, network security, and on-chain activity truly sufficient to support an FDV of over 10 billions USD?

Glassnode: BTC drops to 89,000, risk aversion remains strong in the options market
In the short term, the $95,000 to $97,000 range may form a local resistance. If the price can reclaim this range, it indicates that the market is gradually returning to balance.

Is the Base co-founder launching a token this time reliable?
How should we view this celebrity token from Base?
