After passing $30,000 the day before, Bitcoin climbed higher when a closely-watched inflation index revealed that rising prices slowed in March. According to the Bureau of Labor Statistics (BLS), the Consumer Price Index increased by 5% in the 12 months leading up to March. While Bitcoin remained in green, the majority of the top ten altcoins were trading in the red.
Popular analyst and trader Michael Van De Poppe took to his Instagram handle and said that the market conditions are tough for altcoins.
He wrote, “Tough market circumstances for Altcoins as most of them are correcting the entire move. Bitcoin is still at $29,900 with CPI coming up today. CPI coming in hotter as expected -> rough correction seems likely unless Core / MoM is going to be good.”
Rekt Capital, a popular trader, and the analyst said that BTC/USD was continuing to build on its strong daily close from April 11, which took it above a significant resistance trendline. “BTC is showing initial signs of a successful retest of the Higher High resistance into new support,” he wrote.
The CPI, which analyzes price increases across a wide range of goods and services, may provide insight into the Federal Reserve’s next move. According to the March inflation report, pricing pressures abated as the headline consumer price index increased 5.0% in the year through March, down from 6.0% and somewhat less than the consensus projection. From 0.4% to 0.1% each month, inflation slowed.
As a result, Bitcoin is likely to continue its recent rally, and the largest asset by market capitalization may be poised for a surge above $32,000. Since June 2022, the 28,000 – $32,000 level has been a critical zone where Bitcoin price faces resistance. A surge above $32,000 could pave the way for BTC to reach the $35,000 bullish target.
