Bitcoin and gold markets are waiting for the US core Personal Consumption Spending (PCE) data to be released today at 3:30 PM. The baseline PCE is considered a reliable indicator of inflation. The data directly influences the sensitivity of market participants to risky markets such as Bitcoin and cryptocurrencies.
Bitcoin and gold await US consumer inflation data
US core Personal Consumption Expenditure (PCE) data will be released today at 3:30 PM. The previous PCE was 0.3%. Today’s PCE rate is expected to reach 0.3% again.
The US PCE price index measures changes in consumer spending. The statistic is published monthly by the U.S. Bureau of Economic Analysis. In particular, it affects investors’ sensitivity to US stocks and risky markets.
Core PCE (excluding food and energy prices) at or below market expectations is considered bearish for the US Dollar index. Likewise, a higher-than-expected PCE is bullish for the US Dollar index.
What awaits Bitcoin investors?
A bearish event for the dollar is typically bullish for cryptocurrencies like Bitcoin as it makes it cheaper for investors to acquire the asset and increases demand in the short term. Therefore, a core PCE reading with the market forecast of 4.6% on an annual basis and 0.3% on a monthly basis has the potential to increase demand for Bitcoin.
Since 2012, the PCE index has been guiding the Fed’s policy decisions. The data is therefore key to determining whether the Fed’s measures are reining in inflation at the desired pace.
Will Bitcoin price rise to $30,000?
Currently, Bitcoin’s next strongest resistance is at $30,000. BTC crossed $26,400 on Thursday, rebounding 3% from $25,888 earlier today.
Ahead of the US PCE announcement, investors are pushing the price of Bitcoin up, hoping the core PCE stays the same year after year.
Bitcoin price is in an uptrend that started in March 2023. BTC is currently trading below the two long-term Exponential Moving Averages. These are the $26,820 and $27,501 levels, corresponding to the 50-day and 200-day averages.
As Bitcoin is targeting the $30,000 level, it needs to flip the two long-term EMAs to support to continue the recovery. There are two key resistances at $28,459 and $29,480 on the way to $30,000. These two levels acted as resistance throughout April and May 2023. A drop below $25.804, the May low, would invalidate upside expectations.
How is the gold market?
The ounce of gold has appreciated slightly in the last 24 hours. It instantly reached the level of $ 1,895.38. He recorded a similar move under the Gram. Prices rose steadily and appreciated. This shows that the activity in the gold market continues. As Kriptokoin.com, we will be conveying the latest status on this page with the data announced at 15:30.
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