Bitcoin Price Dips Below $87,000 as Bulls Swap All-Time Highs for Support Retests
On November 15, the price of Bitcoin (BTC) circled key local lows as bulls swapped all-time highs for support retests. According to data from Cointelegraph Markets Pro and TradingView, a BTC price dip below $87,000 into the daily close was observed.
BTC/USD 1-Hour Chart
[Image description: BTC/USD 1-hour chart]
The latest United States inflation data, the October print of the Producer Price Index (PPI), showed inflationary forces returning as the Federal Reserve cut interest rates. PPI was 2.4% for October, per data from the Bureau of Labor Statistics, 0.1% above expectations.
Inflation Data Sparks Stagflation Talk
In a recent update on X, trading resource The Kobeissi Letters noted that both PPI and CPI inflation are now officially back on the rise with core inflation above 3.0%. "The Fed’s job is still far from done here," the letter stated.
Ostensibly problematic for risk assets and crypto, fresh financial policy hawkishness as a result of rising prices trickled back into traders’ consciousness. According to CME Group’s FedWatch Tool, the odds of another rate cut at the Fed’s December meeting were 58% on November 15 — the day prior, they had stood at 82%.
Fed Target Rate Probabilities
[Image description: Fed target rate probabilities]
Continuing, Kobeissi warned that rising prices and a weak labor market could give the Fed a new problem: stagflation. "This is a nightmare situation for the Fed because it puts them in a lose-lose situation," he said.
"If you raise rates, we head into a recession; if you cut rates, inflation rises even further."
BTC Price Faces ‘Aggressive’ Selling and $86K Line in the Sand
With Bitcoin running out of steam on the back of the inflation figures and cool language from Fed Chair Jerome Powell, analysis urged protection of the area around $87,000.
Related: Bitcoin Corrects as US Inflation Data Emerges — Is the Rally to $100K at Stake?
Trader Skew’s Analysis
Trader Skew noted that a low timeframes "likely the same passive buyer in these 3 lows around $87K before it was finally taken." He added, "Probably filled 800BTC + Which is also very contextual for this low because if lost again they would probably sell some portion of that risk."
BTC/USDT 5-Minute Chart with Liquidity
[Image description: BTC/USDT 5-minute chart with liquidity]
Keith Alan’s Analysis
Keith Alan, co-founder of trading resource Material Indicators, said that a return to the mid-$80,000 range might ultimately be cathartic for BTC price strength.
"A retest of support at $86k would be healthy for $BTC, and it will give us some insight as to whether the velocity of this ‘TrumpPump can be sustained for a soonish run at $100k or if momentum is going to cool off for more than 5 minutes," he told X followers.
Later, Alan suggested that Bitcoin could hit its ultimate psychological target — $100,000 — as soon as the Thanksgiving holiday on November 28. However, it needed to preserve a rising short-term trend line.
"If support fails at the line, price will search for support in the $75k – $76k range," he warned.
BTC/USD 4-Hour Chart
[Image description: BTC/USD 4-hour chart]
Conclusion
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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