Bitcoin Revisits Sub-$29K as Traders Respond to U.S Inflation

Bitcoin (BTC) declined for the 4th consecutive day on Friday. Another surge in the United States inflation catalyzed worries of a more aggressive Federal rate increase.

  • Friday sessions saw Bitcoin losing 3.4%, ending the day near $29,067. Bearish actions had Bitcoin declining towards sub-$29K before securing a foothold.
  • Market anxieties in response to inflation remained logical as the United States inflation accelerated towards a new 4-decade peak.
  • The BTC Fear and Greed Index recorded a modest uptick today, regardless of Friday’s crash.

Bitcoin lost 3.4% on Friday, extending Thursday’s 0.35% to end the day near $29,067. Mixed sessions early in the day saw the leading crypto striking an early morning peak at $30,337 before reversing. Failure to overcome the first resistance near $30,533 led to plummets towards the $28,840-day low.

Bitcoin’s downward movements had BTC losing the support barriers at $29,779 and $29,474. Keeping the 3rd support at $28,720 saw Bitcoin recovering to end Friday at $29,068.

(Advertisement)Artificial Intelligence Crypto Trading Artificial Intelligence Crypto Trading System - Surpass the competition with this cutting-edge AI system! Utilize the prowess of innovative algorithms and amplify your crypto trading strategies with CypherMindHQ. Learn more today!

BTC Fear and Greed Index Offers Little Market Comfort

Today’s sessions saw the Fear and Greed Index climb to 12/100 from 11/100. Though the index surged, regardless of Friday’s crash, it remained deep into the extreme fear territory, indicating investor worry about more declines.

The United States inflation numbers deteriorated riskier assets due to mid-week inflation agitations. May saw the United States annual inflation rate to the 8.6% 40-year peak from 8.3%. The increase backs a more aggressive Federal interest rate trajectory to fight inflation.

Bitcoin followed NASDAQ 100 amidst the U.S session, whereas crude oil prices saw a softened inverse correlation. The coming week remains tasty as markets wait for Fed’s June monetary decision.

Bitcoin Price Action

Bitcoin traded near $29,192 at this publication, gaining 0.43% over the past day. Range-bound actions early on the day had BTV falling to a morning low near $29,025 before surging towards the $29,197. The crypto needs an upside past the pivot at $29,415 to target $29,986 initial massive resistance. Broader market support remains essential for a break past $29,917.

Stretched upside would see BTC testing the resistance at $30,913 and $31.5K. Failure to overcome the pivot can welcome declines towards $28,493 before exploring sub-$28K. Further weakness would drag BTC to the second massive support at $27,918.