PANews March 12 news, according to CoinDesk, a technical analysis pattern suggesting a bull market reversal has appeared on the Bitcoin daily chart, as market participants expect Wednesday's U.S. inflation data to provide support for risk assets. Bitcoin has been hit hard recently, falling from $100,000 last month to below $80,000 this week, due to a variety of factors, including Wall Street's risk aversion, concerns about Trump's tariffs, and fears of a U.S. recession. In addition, the lack of new Bitcoin purchases under Trump's strategic reserve plan has also been disappointing, exacerbating the downward momentum.
However, as prices fell to multi-month lows below $80,000 on Tuesday, the relative strength index (RSI) did not confirm the decline. The indicator formed higher lows, contradicting the lower lows on the price chart, confirming what is known as a bullish RSI divergence. This shows that while prices are falling, the momentum of selling pressure is waning, which may indicate an imminent bullish reversal. This pattern comes at a very interesting time, as the US February CPI, released tonight, is expected to show progress; BTC's RSI bullish divergence means that the market is ready to react positively to potentially mild data.
