Bitcoin (BTC) kept bears sweating near $25,000 on March 15 as encouraging macroeconomic data combined with concerns over banking crisis contagion.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
PPI offers “great signs” on Fed pivot
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD recovering from a 24-hour comedown to see highs of $25,273 on Bitstamp.
The pair reacted positively to the latest United States Producer Price Index (PPI) data, which came in far lower than expected.
Prior to the release, the Binance order book showed principal bid and ask liquidity parked at $22,000 and $26,000, respectively.
“Time will tell if enough bid liquidity is there to insulate $22k from getting hit,” on-chain monitoring resource Material Indicators wrote in part of an accompanying commentary while uploading the data to Twitter.
BTC/USD order book data (Binance). Source: Material Indicators/Twitter
For Cointelegraph contributor Michaël van de Poppe, founder and CEO of trading firm Eight, signs were there for the Federal Reserve and Chair Jerome Powell to abandon interest rate hikes at next week’s decisive meeting.
“PPI comes in at 4.6%, while 5.4% was expected. Massive miss, resulting into inflation coming down. Powell to pivot?” he queried.
“Atleast 25bps seems very likely (or no hikes with the banking issues). Great signs!”
The PPI joined already buoyant Consumer Price Index data released the day prior, which accompanied nine-month highs for Bitcoin as crypto took full advantage of the unfolding U.S. banking crisis.
A day later, however, the focus was Europe as European bank stocks were halted for volatility and one in particular, Credit Suisse, hit new record lows.
Credit Suisse was down over 25% at one point before a reversal took it above the $2 mark.
WTF? The markets are now pricing in a probability of default of 47% for Credit Suisse. What have I missed? pic.twitter.com/Q2MMo0T3LV
— Holger Zschaepitz (@Schuldensuehner) March 15, 2023
“Silicon Valley Bank had about $209 billion in assets. Credit Suisse has about $578 billion in assets,” Genevieve Roch-Decter, CEO of financial…
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