Bitcoin Hovers at $26,000 Amidst Anticipation of Wall Street Opening Following Surprising CPI Report
On September 13, Bitcoin (BTC) witnessed sudden price fluctuations, struggling to maintain its $26,000 mark as new United States macroeconomic data revealed unexpected inflation figures.
The August Consumer Price Index (CPI) report exceeded forecasts, registering a year-on-year increase of 3.7%, surpassing expectations by 0.1%. This surprising inflation spike was primarily driven by rising fuel costs, responsible for over half of the overall increase, according to a statement from the U.S. Bureau of Labor Statistics. Additionally, the shelter index continued its upward trend for the 40th consecutive month.
Crypto market observers had earlier warned that a robust CPI reading could exert pressure on the market, suggesting that inflation might persist longer than desired, potentially influencing future economic policies. Some even predicted a more significant increase in the next CPI report, with gasoline prices rising rapidly.
Keith Alan, co-founder of on-chain monitoring resource Material Indicators, expressed optimism about Bitcoin’s price momentum earlier in the day. However, he noted the presence of substantial technical resistance above the current price range due to various daily moving averages.
As the Wall Street opening loomed, Bitcoin’s price remained volatile, lacking a clearly defined trend at the time of reporting. The BTC/USDT order book on the world’s largest exchange, Binance, indicated modest liquidity near the spot price, with more buy orders positioned at $25,000.
