BTC Price Expectations: Breaking Down the Chart
Crypto Weekly Update: Looking at Bitcoin’s chart, the key area to watch is the red zone between 92,000 and 90,000. This zone has been tested multiple times, indicating it’s a significant support level. However, every time BTC touches this zone, the support weakens. Think of it like a wall that’s been hit too many times – eventually, it may break. If the 90,000 level doesn’t hold, we could see BTC dropping to lower levels quickly.
On the upside, there’s a psychological barrier at 100,000, followed by resistance around 102,000. If BTC manages to break above 100,000, it could trigger a bullish run. However, for now, traders need to be cautious of the potential downside risk.
Source | Tradingview
Key Economic Events This Week
A lot is happening on the economic front this week, and it could impact both traditional markets and crypto. Here’s a breakdown of the major reports and what they mean for the markets:
Monday, January 13:
- Monthly U.S. Federal Budget (Dec): The forecast is -75 billion USD. If the deficit is larger than expected, it could put pressure on markets. A smaller deficit, however, could be seen as positive.
Tuesday, January 14:
- NFIB Optimism Index: Expected at 100.0. This shows how confident small businesses are about the economy. A higher number is bullish, while a lower number could signal worries about growth.
- Producer Price Index (PPI): Expected at 0.3%. This measures inflation at the producer level. If PPI is higher than expected, it could mean inflation is still a concern, leading to bearish sentiment. Lower-than-expected PPI would be bullish.
Wednesday, January 15:
- Consumer Price Index (CPI): This is the big one. The forecast is 0.3% for December and 2.9% year-over-year. Higher-than-expected CPI could push the Fed to keep interest rates higher for longer, which would be bearish for the markets. On the flip side, lower CPI numbers would be bullish.
- Empire State Manufacturing Survey: Expected at -0.5. This shows how the manufacturing sector is doing. A better number would be a positive sign.
Thursday, January 16:
- Initial Jobless Claims: Forecasted at 210,000. If jobless claims are lower, it’s bullish. If they are higher, it could mean the labor market is softening, which would be bearish.
- U.S. Retail Sales: Forecasted at 0.4%. This shows how much people are spending. A higher number is bullish, while a lower number could signal weak consumer demand.
Friday, January 17:
- Housing Starts and Building Permits: These reports show the health of the housing market. Strong numbers would be bullish, while weak numbers would be bearish.
Crypto News: Arbitrum and Unlocks
The crypto market also has some big events this week, especially around Arbitrum.
- Arbitrum BOLD Proposal: Arbitrum is proposing to activate a new dispute resolution protocol called BOLD, which would make the network more secure and permissionless. Right now, withdrawals from Arbitrum rely on a limited group of validators, but with BOLD, anyone could participate in validation.
Why it matters: If this proposal passes, it would make Arbitrum more decentralized and secure, which is positive for the long-term growth of the project.
Source | X @arbitrumdao_gov
- Token Unlocks: Several token unlocks are happening this week. Here’s a quick summary:
- January 16: 92.63 million ARB tokens will be unlocked, worth about $66.79 million. This represents 0.93% of the total supply.
Source | Cryptorank
- January 18: A massive unlock of 1.94 billion ONDO tokens, representing 19.4% of the max supply. This could add selling pressure to the market.
Cryptorank | Source
Conclusion
This week will be crucial for both traditional markets and crypto. Keep an eye on Bitcoin’s 90,000 USDT support level and watch how the market reacts to the economic reports, especially CPI on Wednesday. On the crypto side, Arbitrum’s BOLD proposal and the upcoming token unlocks could impact the market.
Stay cautious, always Do Your Own Research (DYOR), and make informed decisions. For more insights, visit blog.millionero.com. If you’re ready to trade, you can trade spot and perpetuals on Millionero. Stay safe and prepared for market volatility!