Bitcoin bulls are trying hard to set their foot above the $24,000, although on the other hand financial analyst Justin Bennett said that this week’s release of inflation data will be the biggest test of the year by far for the cryptocurrency markets.
The consumer price index (CPI) and producer price index (PPI) figures could shake up the macro environment and have a big impact on the cryptocurrency, the trader said in a new video.
Both CPI and PPI will be released back-to-back the next week, so the stock market, as well as the cryptocurrency market, will want to pay attention to these developments.
The CPI and PPI will give us a sense of the kind of inflation the economy is experiencing now. Since it controls how quickly the Fed and other central banks raise interest rates, inflation is undoubtedly a hot topic at the moment.
The strain on the economy and financial markets as a whole is increasing in direct proportion to how quickly and aggressively these central banks are raising interest rates. The S&P 500 has been tracking Bitcoin, so the entire financial market will be watching both of these occurrences next week.
Watch These Levels for BTC
According to the analyst, for this area to turn into support, Bitcoin (BTC) needs to close above the $23,000 mark on a daily basis. At the time of writing this, BTC is currently trading at $23,880.
The next price target is going to be $23,450 if BTC closes above the $23,000 barrier. The market is currently fighting to rise above that level. In reality, it’s not a coincidence that today’s high is $23,476. Again, the resistance level to watch is $23,450. The next significant challenge for Bitcoin is going to be right around $24,200, so keep an eye on that if it does manage to break higher.
“If the market can really start rallying next month for the rest of August, a level to watch here is going to be mid $25,000. I’ve talked about this before, but between $25,000 Would be a place worth seeing.”
