BTCUSD has been consolidating in a narrow range for the past four days. It gained momentum despite a strong PPI. It rose to 6% YoY, well above an estimated 5.6%. The inflation for the month of Jan increased by 0.70% monthly vs. an estimated 0.20%.Market eyes FOMC meeting minutes for further direction.BTC hits a high of $25270 and currently trading around $24868.
Factors to watch for Bitcoin price action-
US markets -
NASDAQ (positive correlation with BTC)- Bullish (positive for BTC). The index trading flat between 12781 and 12206 for the past two weeks. Any close above 13040 will push NASDAQ higher to 13727.
The US 10-year yield pared some of its gains the previous week ahead of FOMC meeting minutes. The US 10 and 2-year spread narrowed to -80 basis points from -88% bpbs
Technicals-
Significant support- $23700. Any break below will take to the next level at $23300/$22600 if possible.
Bull case-
Primary supply zone -$25300. The breach above confirms minor bullishness. A jump to the next level of $30000/$33000 is possible. Bearish invalidation only if it breaks $25000.
Secondary barrier- $33000. A close above that barrier targets $37000/$4000.
It is good to buy on dips around $23000 with SL around $21000 for TP of $30000.
