This Wednesday could be pivotal for Bitcoin and the broader cryptocurrency market.
The Federal Reserve will release its latest monetary policy meeting minutes, along with key economic data such as the Producer Price Index (PPI) and the unadjusted Consumer Price Index (CPI) for September, as well as initial jobless claims for the week ending October 5. These developments are expected to heighten market volatility.
The cryptocurrency market’s growing sensitivity to macroeconomic indicators is evident, particularly as investors view digital assets as a hedge against inflation.
A hawkish tone from the Fed may lead to further rate hikes, potentially pressuring Bitcoin as investors flock to safer assets. Conversely, if initial jobless claims indicate a weakening labor market, it could prompt the Fed to moderate its rate hikes, which might be positive for Bitcoin.
As these events approach, Bitcoin’s price may experience significant fluctuations. It’s nearing a crucial resistance level at $63,000; a breakout could lead to a move towards $65,000. However, falling below $60,000 could trigger panic selling, with $58,000 serving as the next support level. With October 9 approaching, any surprises in the Fed’s minutes or inflation data could result in notable price shifts for Bitcoin.
Bitcoin could be on the verge of another major breakout as institutional inflows return to levels that historically trigger rapid price acceleration.
According to on-chain analyst Darkfost, Bitcoin is entering a new stage of on-chain behavior marked by two key developments: a rare third peak in the SOPR Trend Signal during a single bull cycle and a sustained outflow dominance in exchange flows.
According to the latest Santiment report, the crypto market is entering a critical phase, with a mix of bullish on-chain signals and cautionary sentiment indicators.
In a stunning on-chain event that has reignited curiosity across the crypto community, more than $8.6 billion worth of Bitcoin linked to the network’s earliest years—commonly referred to as the “Satoshi era”—was quietly moved on Friday in what analysts believe is the largest single transfer of early-mined BTC ever recorded.