Bitcoin Stays Above $26K as August US CPI Reports Higher Than Expected

Overview

Bitcoin traders are optimistic about long-term opportunities despite the unexpected CPI report and the approval of FTX's liquidation. Bitcoin reached new monthly highs on September 14 as markets digested macroeconomic and crypto industry news. It had shrugged off a higher-than-anticipated U.S. Consumer Price Index (CPI) the previous day, maintaining $26,000. Following confirmation that defunct exchange FTX had received legal permission to liquidate its remaining assets, Bitcoin's intraday performance remained relatively stable.

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Fundamental Updates

Let's delve into the significant developments shaping the crypto market landscape:

• FTX obtains court authority to liquidate crypto assets: A U.S. judge allowed bankrupt cryptocurrency exchange FTX to liquidate its assets Wednesday. The company said this would allow it to pay consumers in U.S. dollars and eliminate cryptocurrency price volatility risks. In Wilmington, Delaware, U.S. Bankruptcy Judge John Dorsey approved FTX's bid. These agreements allow FTX to sell $100 million in cryptocurrencies per week and hedge and stake. These will assist FTX in reducing price volatility and making passive revenue on Bitcoin and Ethereum. FTX could liquidate $200 million every week if both creditors committees agreed, according to Dorsey. FTX claimed in a Monday court filing that it owned $3.4 billion in cryptocurrencies, including $1.16 billion in Solana, $560 million in Bitcoin, and $192 million in Ether.

• Franklin Templeton Files for Bitcoin spot ETF: Many major financial institutions have applied for spot Bitcoin products in recent months. Franklin Templeton filed a spot Bitcoin ETF application with the SEC on Sept. 12.? After WisdomTree, Valkyrie, Fidelity, VanEck, Bitwise, and Invesco's spot ETF applications were delayed on Aug. 31 and a court ruling on Aug. 29 ordered the SEC to consider Grayscale's application to covert its Bitcoin (BTC) futures ETF into a spot ETF, the S-1 registration statement was Per the application, the fund would be a trust. Coinbase would hold the BTC, and BNY Mellon would manage the cash. Fund shares would trade on Cboe BZX. The SEC must decide the application by Oct. 16.

• A Web3 company and Google Cloud collaborate to mainstream DeFi: Orderly Network, a provider of DeFi infrastructure, has partnered with Google Cloud to create off-chain DeFi infrastructure components aimed at addressing issues with self-custody and transparency. On the Google Cloud Marketplace, Orderly will be a DeFi infrastructure supplier. This collaboration was forged in response to clients' growing desire to investigate blockchain workloads on Google Cloud. The largest obstacle facing DeFi is the ecosystem's long-standing security problems and entry barriers. Building a safe environment and tools to address these problems will be made possible by companies like Google Cloud entering the DeFi infrastructure industry as its main partner.

Bitcoin Price Analysis:

Bitcoin has been trading near $26,000 for the past few days, which shows that the bulls and the bears are having a fight. As Bitcoin seems to be in a range, neither the bulls nor the bears seem to have a clear edge. So, it's better to wait until the price stays above $26,500 or drops below $24,719 before making big bets. If bears can get past the barrier at $26,500, the BTC/USDT pair could go all the way up to the $27,812 resistance level. On the other hand, a drop below $24,719 could make a drop to $22,500 possible.

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