Bitcoin recorded significant growth following the Consumer Price Index (CPI) data release, leading to record trading volumes and new support levels.
Market Reaction to CPI Data
The CPI data triggered an immediate response across global markets, particularly in the cryptocurrency space. Bitcoin surged in price within minutes as buyers aggressively lifted offers, creating an imbalance in liquidity. This movement resulted in the largest hourly candle seen in recent months.
Extraordinary Buy Volume and Price Response
The taker buy volume exceeding $540 million within a single minute across all exchanges confirmed the scale of the action. This liquidity burst represents one of the rarest occurrences in recent order flow, illustrating how quickly buyers began to dictate market direction.
Broader Trend and Market Stabilization
Looking broader, Bitcoin has shown a six-month rally from below $90,000 to above $120,000. However, in August, the market shifted into a corrective phase, retracing towards $112,000 before stabilizing. Current actions indicate that Bitcoin is consolidating and reestablishing support.
Bitcoin continues to demonstrate significant volatility and potential for further growth. Support at $113,000 will be key in determining future price movements.
