As Bitcoin fails to take advantage of the lower-than-anticipated US CPI data, it observes a second day of Wall Street sell-off. Traders are anticipating BTCUSD’s next move, with a dip below $100,000 being a possibility. Binance’s Richard Teng highlights Bitcoin’s “indisputable” momentum against gold and stocks.
Bitcoin BTCUSD experienced another decline at the Wall Street opening on May 13, disregarding the positive US inflation data. Despite the US Consumer Price Index (CPI) for April being below expectations, which should generally favor risk assets, BTCUSD didn’t manage to regain $104,000 as support.
The US Bureau of Labor Statistics (BLS) confirmed a 2.3 percent increase for all items index for the 12 months ending in April, which is the smallest 12-month rise since February 2021. This came after a 2.4 percent increase for the 12 months ending in March.
US stocks started strong, with the S&P 500 and Nasdaq Composite Index rising 0.7% and 1.4%, respectively. The Kobeissi Letter, a trading resource, noted that the S&P 500 has now delivered net upside year-to-date. Meanwhile, BTCUSD has been riding close to the spot price order book liquidity.
Daan Crypto Trades, a popular trader, suggests that the stage is set for new volatility. He forecasted a retest of $102,000 based on liquidity clusters, which subsequently happened. Crypto analyst Michaël van de Poppe adds, “Even if it goes back to $97.5-98K, we’ll still be in an uptrend and building up for new ATHs.”
QCP Capital, a trading firm, discussed the possibility of a short-term sideways trend for BTC. It stated, “BTC remains caught in a tug-of-war between its identity as ‘digital gold’ and its function as a risk-on proxy.” However, Richard Teng, CEO of Binance, remains optimistic. He states, “With double-digit gains following key global events, BTC is reinforcing its position as a resilient alternative asset—outperforming gold, the S&P 500, and the Nasdaq year-to-date. The momentum is undeniable.”
