Bitcoin Aims to Reclaim Yearly Open Amid Key Market Events

Bitcoin (BTC) is making a push to reclaim the yearly open price of $87,570. The cryptocurrency briefly touched $87,000 on some exchanges but faces resistance at this key level. Traders are monitoring the bond market ahead of key events like the 10-year note auction and the Federal Reserve meeting minutes, which could influence market sentiment.

On lower time frames, liquidity hunts continue to drive price action. Bitcoin saw liquidations around $85,500, with significant bid and ask walls around the current spot price, limiting volatility. Analyst Rekt Capital identifies $82,500 as a crucial support level, while a move above $86,700 could open the path to higher levels, potentially reaching $93,700.

The bond market is in focus this week, especially after the 10-year and 30-year bond yields hit multi-decade highs. The Federal Reserve's meeting minutes and upcoming inflation data could provide further insights into future interest rate movements. Analysts suggest the Fed may maintain a hawkish stance, which could pose challenges for risk assets like Bitcoin.

Despite a traditionally weak start to October, Bitcoin has shown resilience, gaining 2.7% in the first three days of the month. Historically, October has been a strong month for Bitcoin, with an average return of 18.7% since 2013. This suggests potential for further upside as the month progresses.