“Bias is to the topside”, crypto expert says of Bitcoin price

Bitcoin is looking to hold above $26,000 after dumping to support near $25,300 as the crypto market recoiled amid the spike in regulatory actions by the US Securities and Exchange Commission (SEC). Other assets are also looking for a bounce after the negative crypto news, with Ethereum trading near $1,750 and BNB at $236.

XRP price was up 7.3% at the time of writing, with sentiment largely positive as the market looked to the release of the Hinman documents.

BTC risk/reward ratio is for upward flip

The uncertainty that precipitated the panic selling as the SEC sued Coinbase and Binance remains largely in place. However, one crypto expert maintains Bitcoin could reclaim the upside momentum and possible target recent highs above the critical $30k level.

David Brickell, the Director of Institutional Sales at crypto liquidity platform Paradigm, believes despite the “bad news” over the past few weeks, Bitcoin could benefit from macro events such as the consumer price index (CPI) released today. 

Noting that CPI was “more important than FOMC”, Brickell commented on BTC price thus:

“Bias to the topside. We’ve digested a lot of bad news over the past couple of weeks, including a reprice of higher for rates and dollar since April. Risk/reward for move back to the top of the range. I also think CPI undershoots. [Market] I think behind how quickly inflation falls from here.”

With the weekly MACD indicator flipping bearish, its likely price weakness may yet increase. However, as crypto analyst Ali tweeted on Tuesday, Bitcoin doesn’t always follow the “herd.”

#Bitcoin | Notice that investors' sentiment about $BTC hasn't been this negative since the COVID-19 #crypto market crash in March 2020.

If there's one thing that #BTC has demonstrated, it's that it doesn't follow the herd! pic.twitter.com/RsQdD6zySo

— Ali Charts (@alicharts) June 13, 2023

Other than Tuesday’s CPI release, the markets are also watching out for the Fed rate decision expected on Wednesday. These are events likely to impact the broader markets, with Bitcoin and cryptocurrencies also forecast to mirror reaction in stocks.