Between Fear and Hope: What Will Happen to Bitcoin This Week
Bitcoin is trading around $88,000, down 1% for the week, as the market enters a period of high uncertainty. Analysts attribute the cautious sentiment to a combination of external factors, including heightened geopolitical tensions and shifting macroeconomic expectations.
Key pressures include aggressive rhetoric from former US President Donald Trump regarding Iran and Greenland, which has spurred a flight to safe-haven assets like gold and caused massive outflows from spot Bitcoin ETFs, totaling over $1.3 billion from January 6-9. Investors are also reassessing the likelihood of a Federal Reserve rate cut in Q1.
Technically, BTC is consolidating near $90,000. A break above $95,000 could trigger a rally toward $103,500, while a break below could see a correction to $85,000. The upcoming US CPI inflation data and retail sales figures this week are seen as potential catalysts that could dictate the next major price move.
Ethereum is expected to continue trading just above $3,000. The market remains caught between fear and hope, with volatility likely to persist due to the prevailing macroeconomic and geopolitical uncertainty.
RBK-crypto01/11 11:50