ME News reports that, on May 10 (UTC+8), market analysis indicates that Bitcoin may face increased downward pressure as the U.S. April CPI data is set to be released on May 12. The latest forecast from the Cleveland Fed suggests that U.S. April headline CPI could rise to 3.56% year-over-year, up from 3.3% in March, potentially reinforcing market expectations that the Federal Reserve will find it difficult to cut rates in the near term, thereby pressuring risk assets like Bitcoin. The analysis notes that although Bitcoin has maintained strength following several previous higher-than-expected inflation readings, current market support has weakened compared to prior episodes. In particular, after Strategy paused its Bitcoin purchases, institutional absorption of new Bitcoin supply has declined, potentially increasing market sensitivity to the upcoming CPI data. On the technical side, Bitcoin’s daily chart is forming a classic “rising wedge” pattern. A break below the key support level of approximately $84,000 could lead to further downside toward $70,000; conversely, a successful breakout above the 200-day moving average may open the path toward $90,000–$95,000. (Source: ODAILY)
Bitcoin May Face Correction Pressure Ahead of U.S. CPI Release
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Summary
Bitcoin analysis from MetaEra suggests the asset may face correction pressure ahead of the U.S. April CPI data on May 12. The Cleveland Fed expects CPI to rise to 3.56% year-over-year, up from 3.3% in March, which could delay Fed rate cuts and weigh on Bitcoin. Correction risk has increased as institutional buying has slowed, particularly after Strategy paused its Bitcoin purchases. Technically, Bitcoin is forming an ascending wedge. A drop below $84,000 could push prices toward $70,000, while a breakout above the 200-day moving average could propel prices toward $90,000–$95,000.
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