Bitcoin Treads Water Ahead of US Inflation Report
Bitcoin is trading at around $63,600 ahead of the US inflation report due later today. This comes as investors remain cautious, with CoinMarketCap's Fear and Greed Index registering a reading of 37, placing the market in the 'fear' category.
The current price of Bitcoin is below several important Exponential Moving Averages (EMAs), including the 50-day EMA at $64,583. This level represents a significant dynamic resistance point, and if broken, could lead to further losses for the cryptocurrency.
On the upside, breaking through this average would reduce immediate selling pressure and allow Bitcoin to test a descending resistance trendline around $65,312. However, failure to reclaim the 50-day EMA would keep Bitcoin vulnerable to another test of the $63,676 support trendline.