Bitcoin Stalls at $85,000 as Inflation Reports Loom
Bitcoin's price has been struggling to reclaim its $85,000 level, a crucial milestone identified by Glassnode as a concentration of long-term holders' purchase prices. The cryptocurrency hit an intraday low of $82,563 on September 28, just below this key area.
The upcoming week will be crucial in determining the direction of Bitcoin's price, with three US data releases scheduled to provide insight into inflation and labor market conditions. On September 30, the personal income and outlays report for August will be released, followed by the ISM manufacturing survey for September on October 1 and the September employment report on October 2.
A reassuring consumer inflation reading could arrive a day before a less comfortable snapshot of factory input costs, which may force traders to revise their view of the Fed. Glassnode's analysis has identified three possible outcomes: easing without a growth scare, persistent inflation, and jobs break.
The test for Bitcoin will be whether each new reading changes yields and Fed expectations, and whether spot buyers support the resulting move through Glassnode's dated holder-cost area.