Bitcoin (BTC) is preparing for a big move higher even amid higher-than-expected inflation data that came in last week, Glassnode founders say.
According to Glassnode founders Jan Happel and Yann Allemann, Bitcoin has that recovered the $26,000 level as support, and BTC’s risk signal appears to have taken a nosedive.
BTCs Risk signal is a metric from Glassnode that measures the risk level of a major price drop for Bitcoin.
Tell the founders of Glassnode,
“It was expected that the 0.6% increase in the US Consumer Price Index (CPI) would push up the BTC price, and that has happened.
BTC has reclaimed support above $26,000 and is now looking at a breakout beyond $27,000, potentially crossing a multi-week range.
Risk Signal’s nosedive in the 1960s indicates this change in mentality. The pressure for profit booking could be around $27,400 and $28,200, but this climb seems poised as a step before the $30,000 psychological barrier is addressed.”
Last week, the U.S. Bureau of Labor Statistics revealed that the CPI rose from 0.2% in July to 0.6% in August. Edition of the data coincided with a rise in crypto and stocks.
The founders of Glassnode, who go by the pseudonym Negentropic on the social media platform X, appear to be predicting a longer-term rally for Bitcoin to much higher prices.
The analysts share a chart suggesting that BTC has bounced out of a major bullish channel and is set to rise toward the top of the channel near $150,000, where “greed, euphoria, and FOMO (fear of missing out)” could set in.
At the time of writing, Bitcoin is trading at $26,538.
Don’t miss a beat – Subscribe to receive email alerts straight to your inbox
Check price action
follow us on Tweet, Facebook And Telegram
Surf to the Daily Hodl mix
Generated image: DreamStudio