The US Consumer Price Index (CPI) data is expected to be announced soon, and it is believed to be lower than anticipated. This development might lead to a strong upward trend in the cryptocurrency market, including Bitcoin, which is striving to surpass its monthly highs. However, signs indicate that market participants are losing confidence in the Bitcoin price rally.

CPI Data Announcement

It is anticipated that the US inflation data will be lower than expected, which could impact Bitcoin and the wider cryptocurrency market. This situation could lead to a price increase above current monthly highs of $64,500.

Current Market Indicators

Currently, trading volumes have significantly decreased and remain below $30 billion. The Bollinger Bands are moving parallel, indicating a decrease in volatility. Such behavior might suggest the possibility of Bitcoin price consolidating within a narrow range.

Miners' Situation and Market Implications

A shift in the market was detected as the Hash Ribbons turned red, indicating miner capitulation. Capitulation occurs when miners lose faith and start selling their assets en masse, causing fear and panic in the market. In these conditions, a retracement of Bitcoin prices back to initial levels is possible.

With the upcoming US inflation data, which could increase volatility in the cryptocurrency market, participants remain cautious. The current situation calls for careful monitoring of indicators and analysis of potential consequences of miner capitulation.