BTC Technical Analysis: CPI Data Plunges Bitcoin To $20K

The BTC price chart shows a bullish continuation possibility this year despite the sharp fall at the recent release of CPI data. On the weekly time frame, the Bitcoin (BTC) price action shows a double bottom at the $18850 support level. Given that the price has recovered twice from this level in the last three months, it serves as crucial base support. However, can the recent sell-off prevent Bitcoin holders from achieving their profits? Key Points: The Bitcoin price action shows a double bottom pattern in the weekly chart. The reversal from the $18,85 level fails to sustain above the $21,875 mark. The intraday trading volume in Bitcoin is $51.36 billion. Source – TradingView BTC Technical Analysis Currently, BTC prices are dropping under unexpected selling pressure, as the most recent CPI data shows an 8.3% year-over-year inflation rate. Moreover, a 1% increase in interest rates now looks plausible in light of the dismal CPI figures. As a result, the price of Bitcoin is down 6.6% today and is trading at $1. However, the volume activity is modest compared to the previous week of recovery. Additionally, the coin price reached a support level of $20K, which could help the purchasers fight back. Therefore, if Bitcoin (BTC) maintains this support, the bullish thesis ought to be effective, as mentioned in our previous article. However, today’s candle closing is essential, and a breakdown below the $20600 mark will pull the prices b...