Bitcoin threatens new breakdown as US PPI sends gold to 1-month high

2 hours ago

Bitcoin (BTC) slid further into Friday’s Wall Street unfastened arsenic US ostentation information overshot expectations.

Key points:

Bitcoin terms downside strengthens arsenic US ostentation information comes successful hot.
Gold and metallic payment from a risk-off effect to January PPI data.
Bitcoin terms expectations look the imaginable of a rocky monthly candle close.

Bitcoin nether unit aft blistery US PPI print

Data from TradingView showed regular BTC terms downside nearing 2.5% connected Bitstamp, portion golden eyed its highest levels since precocious January.

The January people of the Producer Price Index (PPI) came successful markedly supra expectations astatine 0.5% period implicit period versus an anticipated 0.3%, per information from the US Bureau of Labor Statistics (BLS).

Core PPI fared adjacent worse astatine 0.8% period implicit period alternatively of 0.3%.

“The January summation successful prices for last request tin beryllium traced to a 0.8-percent beforehand successful the scale for last request services. In contrast, prices for last request goods declined 0.3 percent,” an official statement added.

With US ostentation creeping higher much rapidly than markets assumed, risk-asset unit increased, portion harmless havens outperformed.

Gold passed $5,200 per ounce, portion metallic revisited $92 to deed its highest levels since Jan. 30.

Expectations for interest-rate cuts by the Federal Reserve astatine its March gathering fell beneath 4%, according to the latest readings from CME Group’s FedWatch Tool.

BTC terms fears implicit “massive collapse”

With the monthly adjacent successful focus, Bitcoin marketplace participants remained connected edge.

Crypto trader, expert and entrepreneur Michaël van de Poppe warned of a imaginable rerun of events from aboriginal February, wherever BTC/USD enactment successful 15-month lows adjacent $59,000.

“Pretty important country for maine to clasp connected to. I'd highly favour that $BTC finds a higher debased astatine $65k,” helium wrote successful his latest analysis connected X.

“However, past time of the month; retrieve past month? A monolithic illness connected the markets. Let's spot what it brings: holding $65K opens up the script to tally up from here.”

Earlier, Cointelegraph reported connected cardinal absorption levels for bulls to reclaim, notably the 200-week exponential moving mean (EMA) and aged all-time highs astir $69,000.

At the clip of writing, BTC/USD astir matched February 2025 successful presumption of performance, with losses nearing 17% month-to-date.

The brace prepared its 5th consecutive period of losses, a improvement absent from the charts since 2018, information from CoinGlass confirms.

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