Today took care news about inflation in the United States for a positive price movement at bitcoin (BTC). Inflation in the US was more than 7% in December last year and the price immediately rose. But is this the start of a further move up? Analysts remain cautious for now.
Watch out as long as bitcoin price trades below
From bitcoin price did indeed immediately react positively to the inflation news. The price rose in value by almost 3% in a few hours. Compared to January 10, when BTC briefly dipped below $40,000, the price is more than 10% in the plus. Cautious signals that a bottom may have been reached.
On-chain analyst Will Clemente is currently looking at $46,000. That was the range low of the price range that bitcoin traded in for much of the month of December. If we can break out of the above, the analyst will let the range high at $52,000 to keep an eye on as a possible next obstacle:
Update: So far so good.
Next, watching reaction at 46K locally (prior range low) and then 52K-53K area (prior range high). https://t.co/75QMYXeABq pic.twitter.com/HrysBjHTbu
— Will Clemente (@WClementeIII) January 12, 2022
Dutch analyst Michaël van de Poppe will also initially keep a close eye on the $46,000. He shared today a graph in which he indicates this price area as the next resistance. A break of this level would therefore be good news, at least for the short term.
Pentoshi, another well-known analyst, is negative on the macro picture for now. The analyst does not see the bitcoin price breaking above $58,000-60,700 and expects bitcoin to potentially rise to the upper end of the previous price range (see Will Clemente’s tweet above) after which a lower high is being formed. “Under $60.7k we are simply macro bearish and make lower peaks,” said the analyst.
Cautious Positive Signs on Bitcoin Blockchain
Although the analysts are not fully convinced at the moment, there is positive crypto news here and there. Blockchain analytics firm Santiment shared a chart a few hours ago. It shows that despite the uncertainty, a lot of bitcoins are being withdrawn from the exchanges. This is generally a positive sign.
“Despite Bitcoin being 36% below its all-time high of 2 months ago, coins continue to flow out of exchanges at an impressive rate. Yesterday’s 26.3k BTC difference between outflows and inflows is an encouraging sign of less lingering selloff risk.”
???? Despite #Bitcoin being 36% below its #AllTimeHigh 2 months ago, coins continue to move away from exchanges at an impressive rate. The 26.3k $ BTC difference between exchange outflow & inflow yesterday is an encouraging sign of less ongoing selloff risk. https://t.co/GZWYrAWvY7 pic.twitter.com/qiUQ6ntWfD
– Santiment (@santimentfeed) January 12, 2022
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