Bitcoin bounces back after a poor CPI day
After falling below $59k, BTC has bounced back strongly, shifting the short-term trend in favor of the bulls.
Waking up to 10 consecutive green hourly candles for Bitcoin is a fantastic way to start the weekend. Just 24 hours ago, Bitcoin was trading below $59k, but it has since surged nearly 8%, reaching a high of $63,450 before settling at the current price of $62,500. Likely to close its first green day since last Sunday, this could mark the short-term reversal that sets Bitcoin up for a higher low on the longer time frame.
At Stormrake, we remain bullish and will continue to be so. These short-term pullbacks don't shake our long-term vision for Bitcoin and should be seen as opportunities to increase BTC exposure. As Bitcoin bounces, other coins have also rallied, riding the wave of BTC’s strength.
Stormrake Spotlight: SUI ($2.03)
SUI continues to dominate the market, up 11% on the day and following our mention in the Morning Note two days ago. During yesterday's pullback, we highlighted SUI as one of the coins likely to outperform once the market rebounded—and it has done just that. With Bitcoin up 4%, SUI is leading the charge and looks poised to continue its strong performance. Now just 6% away from its all-time high, if the market continues to strengthen, SUI could enter "blue sky" territory with no prior levels of resistance to hinder its progress.
BTC/USD Key Levels and Price Action:
Following a nearly perfect bounce off the bottom of the CPR level, Bitcoin surged through all the moving averages and CPR levels before approaching the key resistance at $63,800. While BTC didn’t quite reach that level, it peaked at $63,450 before beginning a slight retracement, creating some bearish divergence in the process. Despite the bullish trend, we could expect a pullback to the $61.5k–$62k region, where the 55 EMA and 200 moving averages align with the top CPR level.
BTC Total ETF Flows for 11 Oct: $ 114.3 million
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
ETH/USD Key Levels and Price Action:
While Bitcoin has rallied 4% and many altcoins have surged even more, Ethereum continues to underperform both BTC and the broader market. Although ETH has finally broken above its moving averages and the first CPR level, it remains far from the next key resistance. Like BTC, ETH has likely set in some bearish divergence, which could lead to a minor pullback. For Ethereum to maintain short-term bullish momentum, it must hold above $2,420.
ETH Total ETF Flows for 11 Oct: $ - 8.7 million
(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
Written by Alexandar Artis
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