Bitcoin Rebounds Above $97K Ahead Of CPI Release

Bitcoin has kicked off the week with notable volatility, showcasing the market’s unpredictability. After a sharp 6% decline that took the price to fresh lows around $89,100, BTC staged an impressive recovery, surging 9% to reclaim the $97,000 level. This rapid rebound highlights both the resilience of Bitcoin and the cautious sentiment among investors navigating uncertain market conditions. Related Reading: Solana Reclaims Key Levels Amid Market Volatility – Reclaim $210 And New Highs Are Next The crypto market now turns its focus to today’s Consumer Price Index (CPI) report, a key economic indicator that will provide insights into inflation trends. Expectations are leaning toward a potential rise in inflation, a scenario that could heavily influence Bitcoin’s price trajectory as investors assess its role as a hedge against economic instability. Top analyst Jelle weighed in on the current market dynamics, sharing a technical analysis that suggests Bitcoin is likely to encounter “bumpy conditions for a while” before finding a smoother path higher. According to Jelle, the current consolidation phase may set the stage for a bullish continuation once inflation data and market reactions settle. As Bitcoin hovers near critical resistance levels, the CPI report’s outcome will be pivotal in determining whether BTC can sustain its recovery or faces renewed pressure. Investors are bracing for a dynamic day ahead. Bitcoin Builds Momentum Amid Volatility Bitcoin is beginning to excite bulls as recent price action signals potential strength. The cryptocurrency has displayed a classic trend reversal pattern characterized by high volatility, significant trading volume, and rapid flash crashes followed by swift recoveries. This combination of factors often precedes major price moves, and many investors are now turning optimistic about Bitcoin’s outlook. With the Consumer Price Index (CPI) report set to be released later today, market participants brace for a volatile session. The report, which offers insights into inflation trends, could heavily influence Bitcoin’s price trajectory. Top analyst Jelle shared a technical analysis on X, highlighting that Bitcoin’s reclaim of the $97K level is a promising development. While he expects volatility to persist as the report comes out, Jelle remains confident that BTC will continue to climb higher in the weeks ahead. Adding to the uncertainty is the broader macroeconomic backdrop. As President-elect Donald Trump prepares to assume office on January 20, the market faces a mix of fear and uncertainty. This political transition has heightened investor caution, further influencing Bitcoin’s movements. Related Reading: Chainlink Weekly Chart Looks Promising – If Bulls Reclaim $30 ‘ATH Are Next’ Despite these challenges, the resilience Bitcoin has shown in recent days bolsters the bullish case. If BTC maintains its upward trajectory, it could pave the way for substantial gains as economic and political events unfold in the coming weeks. Price Holds Near $97K Bitcoin is trading at $97,000 following an impressive 9% recovery from its recent low of $89,164. This surge demonstrates renewed bullish momentum, but BTC now faces a critical challenge as it tests the 4-hour 200 moving average at $97,400. This technical indicator is often viewed as a key measure of short-term strength and trend direction. A successful reclaim and stabilization above this level could act as a springboard for Bitcoin to push toward and potentially surpass the $100,000 psychological milestone. Such a move would likely fuel further market optimism and reinforce the narrative of a strong bullish trend resuming. Related Reading: Solana Consolidates In A Bullish Pattern – A Breakout ‘Could Spark A 40% Move’ However, the situation remains delicate. Losing support at $95,500 could signal a weakening of bullish momentum and open the door for a deeper correction. In that case, Bitcoin could retest lower demand zones, which might shake investor confidence and extend the current consolidation phase. Featured image from Dall-E, chart from TradingView

Name	Symbol	Market	Market Cap ($)	Algorithm
Optimism	OPUSD	Crypto	2,321,880,408	Not Mineable

	Price Change	Price Change %	Current Price	Bid Price	Offer
	-0.060	-3.16%	1.84	1.84	1.84

High Price	Low Price	Open Price	Prev. Close	52 Week Range
1.91	1.84	1.90	1.90	1.06 - 4.86

Exchange	Last Trade	Size	Trade Price	Currency
GDAX	08:52:01	172.96	1.84	USD

Price x Volume	Volume	Base Symbol	Related Pairs
1,171,297.20	625,837.88	OP	OPEUR	OPGBP	OPBTC

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