Analysis: If U.S. April CPI exceeds expectations, Bitcoin may retrace to around $70,000.
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Analysis: If U.S. April CPI exceeds expectations, Bitcoin may retrace to around $70,000.
According to Cointelegraph, market analysis suggests that Bitcoin may face increased downward pressure ahead of the release of U.S. April CPI data on May 12. The latest forecast from the Federal Reserve Bank of Cleveland indicates that the U.S. April headline CPI year-on-year could rise to 3.56%, up from 3.3% in March—potentially reinforcing market expectations that the Federal Reserve will struggle to cut interest rates in the near term, thereby weighing on risk assets such as Bitcoin. Although Bitcoin has remained resilient following several prior releases of higher-than-expected inflation data, current market support has weakened relative to earlier periods, and market sensitivity to CPI data may be rising again. Bitcoin’s daily chart is currently forming a classic “rising wedge” pattern. If the price breaks below the critical support level of approximately $84,000, it could fall further toward the $70,000 region; conversely, a successful breakout above the 200-day moving average resistance could open an upside target range of $90,000 to $95,000.
Navigating Web3 tides with focused insightsTechFlow news: On May 10, according to Cointelegraph, market analysis suggests that Bitcoin may face increased downward pressure ahead of the release of U.S. April CPI data on May 12. The latest forecast from the Federal Reserve Bank of Cleveland indicates that the U.S. overall CPI for April could rise year-on-year to 3.56%, up from 3.3% in March—potentially reinforcing market expectations that the Federal Reserve will struggle to cut interest rates in the near term, thereby weighing on risk assets such as Bitcoin.
Although Bitcoin has maintained strength following several prior instances of inflation data exceeding expectations, current market support has weakened compared to earlier periods, and market sensitivity to CPI data may be rising again. Bitcoin’s daily chart is currently forming a classic “rising wedge” pattern. If the price breaks below the key support level of approximately $84,000, it could fall further toward $70,000; conversely, if it successfully breaks above the resistance of the 200-day moving average, an upside target range of $90,000–$95,000 may open up.
