Bitcoin traders anticipate Federal Reserve Chair Powell to increase our holdings and for Bitcoin to surpass $80K.

Bitcoin (BTC) saw a 3% increase in price on May 13 as traders anticipated volatility in response to the upcoming release of United States macroeconomic data. The intraday high for BTC on Coinbase was $63,269 shortly after the opening of the Wall Street market. Traders are eagerly awaiting the release of inflation data in the US, as it will help determine whether the Federal Reserve will lower interest rates in 2024. The Producer Price Index (PPI) will be released on May 14, followed by the Consumer Price Index (CPI) on May 15. According to market analysts, there is a 72% chance of rates remaining the same at the July Federal Open Market Committee (FOMC) meeting, with the possibility of rate cuts in late 2024. Traders predict a 91.1% chance of rates remaining unchanged at the June meeting. Analyst Tedtalksmacro believes that inflation data is crucial this week and that reducing inflation will benefit risk assets like Bitcoin. Another analyst, Seth, shared a chart showing that the relative strength index (RSI) broke above a descending trendline on the daily timeframe, and he expects this week’s data to impact BTC’s price. Bitcoin has been in a downtrend since reaching its all-time high of $73,835 on March 14, with lower highs and lower lows. The Coinbase Premium Index, which measures the percentage difference between the BTC/USDT pair on Binance and the BTC/USD pair on Coinbase Pro, has mirrored BTC’s price action, dropping from $0.08 to near zero. The index is considered a leading indicator, and historically, when it turns negative and reverses from a downward trend, the BTC price rebounds. Currently, the Coinbase Premium Index is close to zero. Crypto trader Moustache is optimistic, believing that current movements will lead to a sustained upside, similar to previous post-halving cycles. He stated that weak hands need to leave the market before BTC can rise towards $80,000. This article does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.