Mar 16, 2023
Bitcoin Soars to 2023 Peak Amid Inflation Data
This week, Bitcoin (BTC) saw a major surge as the US inflation rate for February matched market predictions. On March 14, the BTC/USD pair reached a peak of $26,550, the highest it has been since May 2022.
However, while the macroeconomic climate is currently favorable for risk-on investors, certain on-chain and market indicators are suggesting a possible correction soon.
There has been a significant increase in Bitcoin being transferred back to exchanges, meaning more supply and higher selling pressure. The coin days destroyed indicator has also seen a small spike, hinting that long-term holders may be taking profits, which could lead to a correction.
The funding rate for Bitcoin perpetual swaps has also risen, with more traders leveraging their positions and betting on the upside. This could be a sign of an upcoming correction.
The sharp price movement has also caused a large jump in the Relative Strength Index (RSI), a technical momentum indicator, to 82 — indicating that BTC/USD is “overbought” in the short term.
The price is currently forming a broadening wedge pattern, indicating the heightened level of volatility. Buyers have failed to break out of the pattern, and are now facing resistance at the ceiling of $26,700. If the price fails to break through, it may correct back to the bottom of the pattern at around $19,500.
However, if the price does break out, the bulls may push the price up to $30,000. Signs of this happening can be seen in the Bitcoin options and futures markets.
In order to capitalize on this potential surge, investors may want to look into NFTs and NFT promotion as a way to increase their presence in the web3 space. NFTs are a great way to promote a project, and Twitter NFT marketing is a great way to reach a wide audience. Working with an NFT marketing agency or web3 agency can help investors create campaigns that will drive engagement and sales of their NFTs.
It is important to remember that investing in crypto carries risk, and investors should always do their own research before making any decisions.
Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.
