In this episode of NewsBTC’s daily technical analysis videos, we’re wanting on the Bitcoin worth bounce right now after a steep selloff following the discharge of CPI numbers for September.
Take a take a look at the video beneath:
VIDEO: Bitcoin Price Analysis (BTCUSD): October 13, 2022
At 8:30AM ET this morning, up to date Consumer Price Index figures had been launched to the general public, prompting a pointy to-the-minute selloff in Bitcoin and the inventory market. Within a few hours later, all intraday losses had been recaptured in a swift transfer.
Consumer costs rose 0.4% in September and had been up 8.2% yr over yr. The reality inflation isn’t waning might immediate the Fed to additional increase rates of interest in November in December. Recent fee hikes are exhibiting little or no impression in curbing inflation.
Bitcoin Price Bounces Back From Lower Bollinger Band
Today’s transfer in Bitcoin worth tapped the decrease Bollinger Band, however was rapidly purchased up after touring exterior it. Had BTCUSD been prepared to interrupt down, touching the decrease would have been the time. Instead, worth motion snapped again and is brushing up towards the middle-BB.
With the Bollinger Bands squeezing, volatility ought to be launched quickly sufficient and after right now’s protection, the likelihood of a transfer up simply elevated considerably. Today’s every day shut making it above the middle-Bollinger Band would additional enhance the probabilities for upside.
The Bollinger Bands seem able to launch volatility | Source: BTCUSD on TradingView.com
BTC Futures Escapes Bear Cross, Bulls Take Charge
On every day timeframes, the LMACD has crossed bearish on the BTCUSD spot index and different spot exchanges. Meanwhile, CME BTC worth charts are nonetheless bullish and exhibiting indicators of diverging up.
Discrepancies within the LMACD between the spot index and CME Bitcoin futures up to now have been notable. During the 2021 second peak at $68K, spot Bitcoin exchanges had crossed bullish, whereas CME merchants narrowly prevented the bull cross. The discrepancy occurred on the actual prime of the bull run.
On the way in which down, forward of the LUNA collapse, there was one other discrepancy between spot trade and CME futures utilizing the LMACD. Spot as soon as once more flipped bullish, whereas CME stayed bearish your entire time.
TD9 Buy Signal Gets Perfected With Sweep Of Lows
One factor is for sure: the weekly LMACD on each spot and CME are precisely the identical. However, worth motion shouldn’t be. CME was closed after we had a wick all the way down to $17,500. This signifies that right now’s low swept all earlier lows.
Because lows had been swept on CME Bitcoin futures, it was sufficient motion to set off a perfected TD9 purchase setup on weekly timeframes. The perfected TD9 purchase setup occurred at a former failed TD9 promote sign, and a cluster of help that coincides with Bitcoin’s former all-time excessive. If Bitcoin can stage a restoration right here, the extent would possibly maintain completely.
