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Veteran trader EmperorBTC offers 2 Bitcoin price scenarios based on inflation data.
The analysis shows a period of consolidation followed by a potential upside move.
The trader expects more sideways pricing in the coming weeks.
Following the latest data on personal consumption expenditures (PCE), the Federal Reserve’s preferred measure of inflation, a veteran trader pointed to two main scenarios for Bitcoin.
Crypto trader EmperorBTC has provided an update on the current state of the Bitcoin price. “Nothing has changed since the last update. My only belief is that we will continue to trade shorts for a few weeks.”
The trader sees two main scenarios.
In the first scenario, which EmperorBTC sees as the main possibility, Bitcoin continues its upward trend but in a way that prohibits easy entry for marginal investors.
This scenario relies on rapid price movement over the weekend and into the following week. This causes Bitcoin to rise steadily, making it difficult for those who have not yet entered the market to find the right moments to buy at lower prices.
The second scenario involves a short and sharp drop in the price of Bitcoin to the $65,000-$66,000 range, followed by a rapid recovery.
$65-66,000 wick with quick recovery. This scenario becomes more likely if Bitcoin continues to trade sideways. Because positions created on either side of the trading range can cause a rapid downward movement before a reversal.
Why it matters: EmperorBTC Insights provides a strategic perspective for traders and investors looking at the current conditions of the Bitcoin market. Waiting for weeks of stabilization represents a period of preparation for the next major move.
“I think we’re going to see weeks of consolidation in a big range after the rally,” he concluded, indicating a long-term bullish outlook after the consolidation phase.
For traders, understanding these potential scenarios can help plan entry and exit points. The first scenario suggests a steady upward move, benefiting those currently in the market, while the second scenario is a buying opportunity for those ready for a quick decline.
