Bitcoin (BTC) fell alongside US stocks at the open on Wall Street on October 19, as markets awaited results from tech companies.
The eurozone registers a new historical maximum of inflation
Data from Cointelegraph Markets Pro and TradingView showed the BTC/USD pair hovering around $19,000 after falling steadily overnight.
Still stuck in a tight range, the pair offered few clues to traders looking for short-term upside plays, with some sources arguing that current levels overall represent solid buying levels.
“With few events on the calendar until the next FOMC in early November, crypto continues to lag equities, and downside protection structures are at the cheapest levels they have been since June”concluded the trading company QCP Capital to the subscribers of the Telegram channel on the day.
QCP Capital was referring to the upcoming meeting of the US Federal Reserve’s Federal Open Market Committee, where a decision on raising interest rates will be made.
Those numbers would be apt to trigger volatility in risk assets, as the United States is more influential in cryptocurrency markets than other nations when it comes to inflation.
The UK posted a new forty-year high in year-on-year inflation today, hitting 10.1%, as food prices took their toll. The euro zone presented a similar story, with annual inflation of 10.9% in September, the highest ever recorded.
“The annual inflation rate of the euro zone was 9.9% in September 2022, compared to 9.1% in August. A year earlier, the rate was 3.4%”confirmed a statement from Eurostat.
“The annual inflation of the European Union was 10.9% in September 2022, compared to 10.1% in August. A year earlier, the rate was 3.6%. These figures are published by Eurostat, the statistical office of the European Union. “
Analyst watches the breakout of the dollar parabola
On the other hand, the Japanese yen was on track to reach the psychological level of 150 per dollar.
The US dollar index (DXY) rose on the day, looking to break above 113 within a general consolidation structure.
The previous day, market analyst Kevin Svenson had made a bold prediction for the dollar, arguing that Bitcoin would see explosive growth if the 2022 DXY “parabola” was broken for good.
“The $DXY pair is about to break below the parabola folks,” he summed up.
“If it does, a big BTC rally is likely to happen.”
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