Bitcoin Down 2.2% Pre-CPI: Is Trump-Harris Debate the Cause?
- Bitcoin saw a 2.2% price drop following the Trump-Harris debate, highlighting the influence of political events on cryptocurrency market volatility.
- Bitcoin drop ahead of the CPI report reflects market caution, with investors reacting to both political uncertainty and upcoming economic data.
- Bitcoin's 2.2% decline post-debate suggests heightened sensitivity to major events, as traders brace for potential impact from CPI announcements.
Bitcoin Slips 2.2% Amid Trump-Harris Debate and CPI Tension
Bitcoin drops 2.2%, US Presidential Debate Hits Crypto Bulls
Bitcoin faced a 2.2% decline on September 11 as the United States Presidential debate between Donald Trump and Kamala Harris left crypto enthusiasts disappointed. The debate failed to deliver any clear support for the crypto industry, leading to a $1,000 drop in Bitcoin’s price within just one hour. BTC/USD reached local lows of $56,099 on Bitstamp.
Talking about Bitcoin ETF, after 8 consecutive days of outflow, spot Bitcoin ETF finally recorded inflow for the past two days. On September 10, the Bitcoin ETF inflow was recorded at $116.96 Million.
Bitcoin drops: Crypto Market Responds to Lack of Policy Clarity
The absence of any meaningful discussion on crypto policies from the debate left the market underwhelmed. According to trading firm QCP Capital, there was growing concern over a potential "risk-off" sentiment in risk assets as the U.S. Presidential election approaches in November. This sentiment, combined with the lack of clarity on crypto regulations, led to increased sell pressure.
Bitcoin drops: Pre-CPI Volatility and Market Sentiment
With the August Consumer Price Index (CPI) data set to release soon, the crypto market saw heightened volatility. While traders expected CPI to come in at around 2.55%, QCP Capital pointed out that the impact of this figure would likely be minimal, with the market shifting focus to unemployment data. However, the CPI remains a key event, and crypto analysts, including Michaël van de Poppe, suggested that Bitcoin’s price could experience significant momentum post-CPI.
Bitcoin drop related Short-Term Price Predictions
Bitcoin has been struggling to break past key resistance levels. Analysts observed that BTC/USD remained below both the 200-period simple moving average (SMA) and the exponential moving average (EMA), which sit around $59,200 and $58,840, respectively. For bullish momentum to resume, Bitcoin would need to reclaim these levels, according to popular trader Daan Crypto Trades. Until then, Bitcoin’s price may continue to face pressure.
Conclusion
The combination of political uncertainty and pre-CPI pressure has contributed to Bitcoin’s recent decline. However, the market is closely watching upcoming data for signs of a potential recovery.
