This week, the United States is scheduled to release key economic data that usually has major impacts on global financial markets. Specifically, the focus is on the Core Personal Consumption Expenditures Price Index for February, an important measure of inflation that the Fed closely monitors. With Bitcoin's (BTC) recent adjustments and anticipation surrounding the upcoming halving, the stakes couldn't be higher for cryptocurrency investors looking to gauge what the crypto king's next move will be.
Key cryptocurrency events this week
There are high expectations (over 89%) that interest rates will remain stable in the near term, a scenario that has historically had mixed implications for Bitcoin. In parallel, the Bitcoin network has been busy, with the difficulty level reaching an all-time high. This indicates a strong interest in mining activities, even as the community prepares for a halving that will cut the mining reward in half.
The core PCE price index is particularly noteworthy for cryptocurrency markets because it provides insight into inflation trends, which influence the investment strategies of institutional investors, and which are responsible for Bitcoin breaking all-time highs this year.
In addition to all of this, there are other exciting things happening in the cryptocurrency industry this week, including the sentencing of Sam Bankman-Fried scheduled for March 28. Prosecutors are pushing for a tough sentence of 40 to 50 years, while family, supporters and cellmates are pushing for it. Leniency. But it's all up to Judge Lewis Kaplan, and only time will tell.
Next week also brings a series of token openings that could add more volatility to the market. Both Optimism and dYdX lead, with 24.16 million Optimism OP tokens and 33.33 million dYdX tokens worth over $200 million.
Adding to the week's drama is the fate of Do Kwon, whose legal issues take a new turn with his release from Black Mountain prison. Whether Kwon will face extradition to South Korea or the United States remains unanswered, leaving the cryptocurrency community intrigued.
How did the price of Bitcoin perform??
Bitcoin is hovering around the 20-day EMA, and its price is around $65,364, indicating that neither the bulls nor the bears have ultimate control. Meanwhile, the RSI indicates a balanced dynamic of buying and selling pressures.
Bitcoin's immediate path could range between $60,700 and $69,000. A sustained move below the 20-day EMA could push prices towards the 50-day SMA support area, threatening a drop to the $54,000 Fibonacci level. However, a break above $69,000 could indicate bullish momentum, which could pave the way for a rally towards $80,000. At the time of writing, Bitcoin was valued at $67,099.
