25/02/2023
Bitcoin price stays under $24K as PCE data helps US dollar to near 7-week highs
Bitcoin stayed lower at the Feb. 24 Wall Street open as United
States macroeconomic data showed inflation biting back.
PCE sparks fresh doubts on inflation
Data followed BTC/USD as it traded in a narrowing range around $23,800.
The pair saw an attempt to reclaim $24,500 the day prior, but this ultimately proved unsuccessful as resistance kept gains in check.
Bitcoin nonetheless saw only a muted reaction to the latest U.S.
Personal Consumption Expenditures (PCE) Index print, which at 4.7% versus 4.3% forecast suggested that inflation was not ebbing as quickly as hoped.
For popular commentator Tedtalksmacro, this was cause for the Federal Reserve to consider a larger interest rate hike at its March meeting - a potential headwind for risk assets including crypto.
"Here comes the speculation of 50bps in March," he argued in part of a Twitter reaction.
Focusing on BTC/USD itself, contributor Michael van de Poppe meanwhile remained upbeat on the short-term prospects.
"The markets are still having a regular correction inside an uptrend," he wrote alongside a chart with significant levels highlighted.
"As long as Bitcoin remains above $22K, this would be sufficient to expect continuation towards $25K+.
Monitoring resource Material Indicators showed resistance on the Binance order book laddered above spot price, with most support at $23,000.
