Bitcoin price surges on CPI relief – Yet BTC’s $70K barrier remains!

Macro alerts proceed to defy mainstream expectations.

This week stress-tested the market with back-to-back information drops, and from right here it seems to be like bulls are absorbing the volatility, particularly as incoming information continues to shock analysts with out driving significant draw back.

Bitcoin’s [BTC] technical setup reinforces that view. Regardless of the FUD, BTC continues to cut above its early February low close to $59k. Naturally, the important thing query now: Is that this resilience really signaling a market backside?

CPI aid sharpens the divide between bulls and bears

Recently, macro prints have been driving sharp sentiment swings in Bitcoin.

Take the most recent jobs report. It got here in “stronger than anticipated,” reinforcing the resilience of the U.S. labor market. Nevertheless, that rapidly reignited a conflict between bulls and bears over what it means for the rate-cut path.

Then, on the thirteenth of February, the Bureau of Labor Statistics printed the Shopper Value Index (CPI) report, which printed at 2.4%, beneath the anticipated 2.5%, rapidly shifting the controversy again in favor of the bulls.

Supply: TradingEconomics

The response was swift. Bitcoin closed the day up 3.93%, marking its strongest intraday acquire in two weeks. Bears naturally took the hit, with short liquidations accounting for roughly 85% of the $267 million flushed.

That stated, the actual check of bullish conviction is simply starting.

Technically, bears are nonetheless leaning towards a breakout, with a dense liquidity cluster constructing round a key value band. Until Bitcoin clears this vary “decisively,” the most recent transfer dangers being simply one other brief squeeze.

Bitcoin bulls want conviction amid on-chain stress

Bears continue to argue that annual inflation stays elevated.

Notably, this divergence in bull-versus-bear positioning round latest macro prints is now displaying up on-chain. Bitcoin’s funding charges stay within the pink, pointing to a persistent brief bias regardless of latest value resilience.

The outcome? A dense short-side liquidity cluster is forming between $70k and $75k, with roughly $150 million in Bitcoin sell pressure, making this a key resistance zone bulls should clear to maintain the rally.

Supply: CryptoQuant

On-chain accumulation round Bitcoin’s present spot is growing. BTC ETFs noticed a $15 million influx after two consecutive days of outflows, hinting at a flip, however the development continues to be too weak to gas any significant upside for BTC.

The larger image? Even with CPI aid, U.S. investors aren’t stepping in, probably pricing in a correction earlier than committing. Taken collectively, this implies bulls will want extra conviction to push Bitcoin out of its present chop.

From a technical standpoint, BTC’s close to‑4% rally seems fueled extra by a brief squeeze than real shopping for stress. If that dynamic persists, momentum may swing again to the bears, leaving Bitcoin longs uncovered to vital danger.

Ultimate Abstract

• Bitcoin faces key resistance as short-term liquidity builds between $70k– $75k, with bulls struggling to transform the latest rally into sustained momentum.
• The transfer seems pushed by a brief squeeze, holding Bitcoin longs uncovered to draw back danger.