Bitcoin Recovers From $89K Low, Signaling Potential Bottom Formation
Bitcoin's price showed signs of recovery after falling below the $90,000-$93,000 support zone due to investment banks adjusting Fed rate cut expectations. Key points include:
- BTC initially dropped but rebounded to $94,000 by the end of the day.
- The formation of a long-legged Doji candle suggests downtrend exhaustion and a potential bottom.
- This pattern emerged at a support level that has held since late November.
- A decisive move above $95,900 is needed for confirmation of a bullish trend.
- BTC's demand-supply dynamics appear bullish, with demand from corporations exceeding new coin supply.
- Upcoming U.S. CPI report may impact market volatility and Fed rate cut expectations.
Market participants are seeking signs of stability to gauge further price movements.