Bitcoin has been climbing after the Bank of Japan announced it won’t be raising interest rates soon, coupled with a recovery in global markets.
As BTC surged above $62,000 this morning, leaving bears scrambling, Matrixport analysts noted that Bitcoin could see further gains with the upcoming U.S. inflation data expected next week.
In their latest report, Matrixport analysts suggested that if U.S. inflation comes in below 3%, it could lead to a positive reaction in the market.
“A relief rally could be on the horizon as Bitcoin anticipates U.S. inflation data next week.
Currently, Bitcoin is oversold, and historically, it tends to rebound in such conditions.
The upcoming inflation data could ignite bullish momentum.”
A Rare Opportunity in Bitcoin!
Significant outflows of stablecoins from Circle last week and USDC inflows to exchanges this week may indicate that investors are buying the dip.
Highlighting the stablecoin's volatility along with Bitcoin’s Relative Strength Index (RSI) hovering around 30%, analysts suggested this scenario could present a buying opportunity similar to what happened in June 2024.
“During corrections, opportunities for the RSI to drop below 30% are rare in Bitcoin bull markets.
The current situation underscores Bitcoin's oversold state, with the RSI at 30%, pointing to a potential buying opportunity.” #bitcoin☀️ #Bitcoin❗ #Cryptocurrencies #BTC☀ #BTC500K