Bitcoin price witnessed increased buying pressure from investors and whales as prices fell below $21.5K. Bitcoin Whale Transactions Count on-chain data reported by CoinGape on Monday revealed an increased interest in Bitcoin from whales. As a result, Bitcoin price has increased by nearly 2% from a low of $21,460 in the last 24 hours.
Traders decide their next actions after the U.S. consumer price index (CPI) data for January came in at 6.4%. Major macroeconomic factors are cooling ahead of the CPI release by the U.S. Bureau of Labor Statistics. U.S. Treasury yields, oil prices, and U.S. Dollar Index (DXY) have already started falling after rising significantly.
The 10-year Treasury yield was trading at 3.369% after dipping by around 2 basis points. The yield on the 2-year Treasury was also down by about 2 basis points at 4.509%.
Meanwhile, oil prices also dipped on Tuesday after the U.S. government plans to release more crude from its Strategic Petroleum Reserve.
The weak dollar has also helped Bitcoin price to recover slightly today ahead of the CPI data release. A recovery was recently seen across the crypto market as major macroeconomic factors started falling. The U.S. Dollar Index (DXY) fell 0.32% to 102.96 today, after rising over 103.50 in the last week.
The inflation rate in the U.S. was expected at 6.2% in January, the lowest since October last year. The inflation fell significantly in December, dropping from 7.1% to 6.5%. JPMorgan trading desk predicted a fall below 6.3% will push the market up by 2.5-3%.
Also Read: Terra Classic USTC Price Jumps 15%, LUNC Shows Strength After This Development
Bitcoin Price To Rally Higher
Bitcoin price recorded an over 40% rally in January. Traders hope market recovery to continue amid cooling inflation and strong jobs data.
BTC price increase will help bring a broader market recovery amid crypto crackdown plans of U.S. regulators. Crypto analyst predicts an upside towards $25K after the U.S. CPI data. BTC price is currently trading at $21,822, while Ethereum price currently trades at $1,508, up 2% in the last 24 hours.
Also Read: Cardano Whale Transactions Jump In February, Will It Help ADA Rally?
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
