Bitcoin price levels to watch during Thursday's US CPI announcement
- Bitcoin price declined by 25% during November.
- CPI release dates have seen historical volatility this year.
- Multiple trade scenarios can be deduced for the CPI release day.
Bitcoin price experienced a monstrous decline on November 9. On November 10, the United States updates the Consumer Price Index. Historically the CPI release dates tend to be very volatile trading days. Key levels have been defined for traders to consider while seeking profitable opportunities for the big day.
Bitcoin price to create a new range
Bitcoin price has experienced a devastating mudslide as the peer-to-peer digital currency breached new yearly lows at $15,600. Now, as the US will release updates on Inflation during the Consumer Price Index announcement, the Crypto market will likely witness an influx of volatility.
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Coinglass’s Total Liquidations
Bitcoin price currently auctions at $16,143. Coinglass’s Total Liquidations show 679,000,000 dollars worth of long liquidations in the last 24 hours, which is still less than the 704,000,000 worth of short liquidations that occurred during October’s last-minute bull run. Considering this subtle information, BTC could have one more low to print. A key level of interest would be the 2020 order block at $14,900.
BTC now auctions in levels last touched in 2020 before its infamous bull run. The Relative Strength Index continues to fall into oversold levels as retail bears have joined the trend. Market makers may do a liquidity hunt north before marking the price lower. Key levels of interest would be the recent high at $18,000.
BTCUSDT 1-Hour Chart
The Volume Profile Index shows fewer transactions in the current sell-off than in the US midterm elections liquidation. The indicator may suggest that the bears are ready to release their shorts. However, if the technicals are read incorrectly, the next targets would be liquidity zones established in 2020 between $15,000 and $14,500.
To recap, traders should keep the $14,900 and $14,500 levels as potential buying opportunities while aiming for $16,500. If $16,500 is breached, a rally can occur as high as the Wednesday high at $18,000 in the short term.
In the following video, our analysts deep dive into the price action of Bitcoin, analyzing key levels of interest in the market. -FXStreet Team
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
