Bitcoin Rises Above $26,000 as US Releases CPI
According to Glassnode, as of September 12th, BTC's realised price for short-term holders was $27,975.
On Thursday, Bitcoin surged to trade above the crucial $26,000 support level, marking a 24-hour rise of 1.45%. This movement followed the release of the U.S. Consumer Price Index (CPI) data, which indicated an uptick in the annual inflation rate for August. Ether also experienced an uptick, reclaiming $1,600.
FTX Granted Approval to Liquidate Assets
Bitcoin and Ether briefly dipped after the bankrupt crypto exchange FTX received court approval to sell its $3.4 billion crypto assets. The approved selling is capped at $100 million per week, potentially extendable to $200 million.
FTX’s crypto holdings, including $1.16 billion in Solana's SOL and $560 million in Bitcoin, reflect a significant portion of the assets slated for liquidation.
BTC's realized prices for short-term holders (STH) and long-term holders (LTH) offer insight into the average acquisition prices of coins. As of September 12, the realized price for STH was $27,975, previously serving as both a support and resistance level. On the other hand, LTH had a realized price of $22,400.
Bitcoin Price Analysis
As per CoinStats, Bitcoin continues to showcase its market strength with a 1.22% gain in the last 24 hours. Its current price of $26,255.57 reflects a thriving market cap of $512 billion. Trading volume remains active at $23 billion, underlining sustained investor interest. With a capped supply of 21 million coins, Bitcoin's scarcity factor remains a key driver of its value.
Source: CoinStats
Despite reclaiming $26,000, Bitcoin faces several technical hurdles. These include a potential "death cross" formation, a significant event in technical analysis marked by the 50-day moving average crossing below the 200-day moving average.
This currently hovers around $27,444 and $27,670 respectively. Additionally, a 100-day moving average of $28,292 signifies an upper limit for Bitcoin's price range.
For a genuine recovery in short- and long-term investor sentiment, BTC's price must stay above the LTH realized price and break back above the STH realized price. This would signal to investors that the bear market may be ending, potentially paving the way for a sustained upward trajectory in BTC's price.
Source: TradingView
Conclusion
As the crypto market navigates these key developments, investors are keeping a close watch on the evolving trends, particularly in Bitcoin and Ether prices. The path forward remains dynamic, influenced by various factors including market sentiment, technical resistances, and regulatory dynamics.
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