Hassan Maishera
TL;DR
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BTC is down 2% in the last 24 hours and trading below $119k as the broader crypto market underperforms.
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The poor market performance comes ahead of the CPI inflation data later today.
BTC Falls Below $119k
The cryptocurrency market is having a poor start to the week following its excellent weekend. Bitcoin, the number one cryptocurrency by market cap, has lost over 2% of its value over the last 24 hours and has dropped below $119k.
At press time, BTC is trading at $118,891 per coin. The bearish performance comes ahead of Tuesday’s U.S. Consumer Price Index (CPI) report. This report could be the biggest catalyst for traders this week, with Producer Price Index (PPI) data following later in the week.
Bitcoin’s short-term momentum will likely depend on those U.S. macroeconomic data reports, as they will give a glimpse of the next FOMC meeting. In a report on Monday, Bitfinex analysts stated that,
"With market sensitivity to macro events running high, traders should prepare for increased volatility and the possibility of a retracement toward $110,000 in the near term. We believe that the ranging conditions and oscillation between the range highs and lows will continue, since price is constantly moving above and below the cost-basis of fresh buyers, allowing for charged sentiments around key macro data releases."
Altcoins were not left behind as they also recorded heavy losses on Monday. XRP is down 3% and risks dropping below $3 if the bearish trend continues. Solana, Dogecoin, and Cardano all lost more than 5% of their value each as the total crypto market cap drops below $4 trillion.
