Bitcoin short-term ‘technical sell-off’ under $100K possible ahead of May 13 CPI print

3 hours ago

Key takeaways:

Possible de-risking up of the May 13 CPI people could beryllium playing a relation successful today’s BTC terms correction.
Bitcoin marketplace operation and qualitative fundamentals stay bullish, suggesting today’s correction could beryllium short-lived.

Bitcoin (BTC) terms concisely stumbled connected May 12, falling to $102,388 aft hitting an intraday precocious astatine $105,819 during the US trading session. At archetypal glance, the abrupt correction seemed unexpected fixed the affirmative quality of the day. Since Sunday evening (May 11), mainstream media headlines person reported connected the affirmative headway made successful the US-China commercialized talks occurring successful Switzerland, and passim the evening, President Trump ran his triumph laboratory via Truth Social posts heralding the positives of the deal.

BREAKING: U.S. Announces China Trade Deal successful Geneva pic.twitter.com/JjgvYAvAGe

— The White House (@WhiteHouse) May 11, 2025

As quality of the tentative woody broke, US equity futures markets soared, and these gains materialized into a 1,000-point rally successful the Dow astatine the opening bell. Looking beyond the impermanent solution of the US-China commercialized war, Bitcoin has racked up back-to-back wins implicit the past 2 weeks. On May 12, Strategy CEO Michael Saylor announced that the institution had acquired 13,390 Bitcoin, bringing its full equilibrium to 568,840 BTC.

On the aforesaid day, shares of healthcare institution KindlyMD surged up to 600% aft announcing the merger with Nakamoto Holdings, a Bitcoin concern institution founded by David Bailey, who is Trump’s existent crypto adviser. The period of April followed a akin trajectory to today, wherever predominant Bitcoin treasury instauration announcements were made by an assortment of US-based and planetary companies.

Profit taking and de-risking thrust the existent Bitcoin terms correction

While Bitcoin's wide adoption appears to beryllium accelerating, information from Glassnode suggests that BTC terms could beryllium successful for a little play of consolidation aft gaining 9% successful the past week. The onchain analytics steadfast posted the pursuing chart and warned that:

“BTC Supply Mapping shows sustained spot successful caller demand. First-Time Buyers RSI has held astatine 100 each week. But Momentum Buyers stay anemic (RSI ~11), and Profit Takers are rising. If caller inflows slow, deficiency of follow-through could pb to consolidation.”

At large crypto exchanges, determination was an uptick successful selling successful perpetual futures markets, and selling was besides seen successful spot markets arsenic BTC terms rallied into a merchantability partition adjacent $106,000.

From a trader's constituent of view, a information of the selling could beryllium imaginable derisking up of the May 13 Consumer Price Index (CPI) ostentation report, on with the presumption that the Trump commercialized woody with China is present priced successful aft BTC failed to rally and clasp supra $104,000 connected specified momentous news.

Leading into the commercialized warfare news, the US Dollar Index (DXY) rallied and banal indexes soared. Seeing Bitcoin failing to interruption and clasp $104,000 to $105,000 anterior to banal futures opening and past BTC being incapable to travel equities opening doorbell gains successful the NY league suggests immoderate traders elected to adjacent profitable longs up of tomorrow’s CPI oregon earlier the existent bid appetite shifts to little terms levels.

This presumption tin beryllium interpreted by the illustration above, showing unfastened involvement rising hour-over-hour, on with an abrupt spike successful the backing complaint arsenic abbreviated positions opened and longs were liquidated.

Spot purchasing played a important relation successful past week’s Bitcoin terms rally, and the May 12 announcement from Strategy and spot BTC ETF inflows of the past 7 days raises much contiguous concerns of whether the benignant of buying appetite seen since precocious April volition spill implicit into different week.

Considering the accelerating gait of Bitcoin adoption wrong accepted concern and the rapidly improving crypto regulatory environment, the existent terms enactment appears to beryllium a short-term method correction. Perhaps, babelike upon tomorrow’s CPI print, spot and borderline longs volition instrumentality successful unit erstwhile the marketplace digests the details of the report.

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.

View source