Bitcoin moved above the $26,000 level on Wednesday, ahead of the upcoming inflation report in the United States. Consumer prices for August are expected to come in at 3.6%, up from 0.4% the month prior. Core inflation on the other hand is forecasted to fall to 4.3%, from 4.7% in July. Ethereum was back above $1,600.
Bitcoin was once again trading above the $26,000 level in today’s session, as markets prepared for the upcoming U.S. inflation report.
Following a low of $25,781.12 on Tuesday, BTC/USD rose to an intraday peak of $26,451.94 earlier in the day.
The move comes as the world’s largest cryptocurrency continued to move away from a recent three-month low.
From the chart, Wednesday’s surge in price comes as the 14-day relative strength index (RSI) jumped past a ceiling of 44.00.
At the time of writing, the index is tracking at a reading of 47.23, with the next visible point of resistance at the 50.00 mark.
In the case that this level is reached, there is a good chance that BTC will be trading closer to $27,000.
Ethereum (ETH) moved away from Tuesday’s six-month low, climbing back above $1,600 in the process.
ETH/USD peaked at $1,616.54 in today’s session, following a bottom at $1,582.22 less than 24 hours before.
As a result of the rebound in price, the RSI has now moved out of oversold territory, and is hovering below a key ceiling.
Currently, the aforementioned resistance sits at 40.00, with price strength currently residing at 39.40.
Should this zone be broken, then there will likely be a push above the $1,620 support point.
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Do you expect inflation stats to show a rise today? Leave your thoughts in the comments below.