Bitcoin (BTC) stayed lower at the Feb. 24 Wall Street open as United States macroeconomic data showed inflation biting back.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
PCE sparks fresh doubts on inflation
Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it traded in a narrowing range around $23,800.
The pair attempted to reclaim $24,500 the day prior, but it ultimately proved unsuccessful, as resistance kept gains in check.
Bitcoin nonetheless saw only a muted reaction to the latest U.S. Personal Consumption Expenditures (PCE) index print, which was 4.7% instead of the 4.3% forecast — suggesting that inflation was not ebbing as quickly as hoped.
For popular commentator Tedtalksmacro, this will cause the Federal Reserve to consider a larger interest rate hike at its March meeting — a potential headwind for risk assets including crypto.
“Here comes the speculation of 50bps in March,” he argued in part of a Twitter reaction.
Focusing on BTC/USD itself, Cointelegraph contributor Michaël van de Poppe, meanwhile, remained upbeat on the short-term prospects.
“The markets are still having a regular correction inside an uptrend,” he wrote alongside a chart with significant levels highlighted.
“As long as Bitcoin remains above $22K, this would be sufficient to expect continuation towards $25K+.”BTC/USD annotated chart. Source: Michaël van de Poppe/Twitter
Monitoring resource Material Indicators highlighted resistance on the Binance order book laddered above the spot price, with the most support at $23,000.
BTC/USD order book data (Binance). Source: Material Indicators/Twitter
Popular trader and analyst Rekt Capital additionally showed that BTC/USD was attempting to hold a trend line recently flipped to support on intraday timeframes.
“There hasn’t been a 3rd consecutive retest yet but BTC is still holding above the Lower High resistance,” he tweeted.
“If this price stability continues here, one could make the argument that price is slowing in the sell-side momentum against this new Lower High support.”BTC/USD annotated chart. Source: Rekt Capital/Twitter