Bitcoin Breaks $66K Barrier Following CPI Data, Eyes New Highs

Bitcoin’s price surged another 6% on Thursday, surpassing $66,000 for the first time since March. As of press time, it stands at $66,225.85 with a market capitalization of $1.295 trillion. Similarly, its trading volume has surged by 76.00%, amounting to $42.575 billion.

BTC/USD 24-Hour Chart (Source: CoinStats)

This surge comes after the recent U.S. Consumer Price Index (CPI) data release on Wednesday. Bitcoin has now crucially broken above the $64,000 resistance level, potentially setting the stage for further gains to new all-time highs.

Market Analysts Signal End of Downtrend

Rekt Capital, a cryptocurrency research firm, said the recent breakout suggests the Bitcoin downtrend might be nearing its end. The firm noted that markets often test investor resolve with pullbacks before significant gains materialize.

“The Bitcoin bull market is not over,” Rekt Capital remarked.“

Additionally, Bitcoin shows signs of reducing sell-side momentum, beginning to stabilize around the $60,000 support level. This sustained support is vital for the continuation of the current upward trend.

Another respected market analyst, Peter Brandt, has voiced similar optimism regarding Bitcoin’s trajectory. Brandt suggests that Bitcoin is on the path to achieving new record highs. For this to occur, Bitcoin needs to break decisively above the $67,000 mark, accompanied by strong bullish activity.

Bitcoin Eyes $70,000

Bitcoin’s trajectory shows a promising uptick as it breaks the symmetrical triangle upward on the daily chart. This bullish breakout could propel BTC toward the $70,000 mark if current sentiments persist. On the flip side, a shift to bearish sentiments might see the token seeking support at $58,000.

BTC/USD 1-Day Chart (Source: Tradingview)

The Moving Average Convergence Divergence (MACD) indicator reinforces a positive outlook as it trends upward. This upward trend indicates sustained bullish sentiment in the market. Presently positioned at -121.04, the MACD line is nearing the zero threshold, suggesting that bullish momentum could continue in the near term.

Further confirming the bullish momentum, the histogram on the MACD chart shows widening green bars above the zero line. This pattern typically indicates strengthening bullish momentum, hinting at sustained buyer interest and potential further price increases.

BTC/USD 1-Day Chart (Source: Tradingview)

Another critical technical indicator, the Relative Strength Index (RSI), mirrors this positive sentiment. The RSI line is climbing sharply, now positioned at 57.91. Moreover, it moves well above the signal line and stays clear of overbought territory, suggesting there is ample room for growth before the market becomes overheated.