Bitcoin may rise to $115,000 as America economic data exceeds expectations.

The price of Bitcoin soared above the $110,000 mark on Wednesday after the US (CPI) Consumer Price Index data was lower than expected, reaching 2.4% year-on-year (dự report: 2.5%). Core CPI also fell short of expectations, at 2.8% (dự reported: 2.9%). The U.S. dollar index (DXY) plunged to 98.5, the lowest level in months, as the market quickly adjusted expectations for the U.S. Federal Reserve's interest rate (Fed).

Monthly US Dollar Index | Source: TradingViewHowever, the chances of the Fed cutting interest rates next week remain low, as the headline CPI is rising again for the first time since January.

The general market sentiment for Bitcoin is currently very optimistic, and a lower-than-expected CPI reading could push the price to new highs, surpassing the $115,000 mark this week. Prices may rise on Thursday, after the US (PPI) Producer Price Index data is released. It is expected that the PPI will increase by 0.2% month-on-month, while the core PPI will be at 0.3%.

If the PPI data is lower than expected, it could boost the rise of Bitcoin by reinforcing expectations that the Fed will maintain an accommodative monetary policy in the second half of 2025. Conversely, if the PPI is higher than expected or there are unexpected macroeconomic developments, the market may adjust downward.

According to the report, Bitcoin is approaching a new peak, supported by a wave of optimism related to the US-China trade deal announced by US President Donald Trump.

This agreement is expected to alleviate macro risks that previously caused the price of BTC to plummet to its lowest level of 74,500 dollars in April, after Trump made statements about tariffs. The agreement — described as "completed" pending final approval — has sparked a risk-on sentiment in the market, while the price of BTC is consolidating below 110,000 dollars.

Bitcoin sentiment reaches a 7-month high

According to analysis from the data platform Santiment, the sentiment towards BTC has reached a 7-month high, with the number of positive comments on social media (X and Reddit) doubling the number of negative comments about Bitcoin since Trump won the election in November 2024.

! Bitcoin Bitcoin bullish sentiment data | Source: SantimentOptimism is also reflected in BTC's low funding rate (phí trợ), even when the price is at a historical peak. Trader Jacob Canfield said:

"To be honest, I don't recall a time when the price increased so sharply while the funding rate remained completely flat. This usually indicates that the price increase is primarily driven by spot trading. I'm not sure if we can witness large sell-offs when the market is not using high leverage. The likelihood is high that the price will continue to rise."

Technically, Bitcoin is forming a bullish pennant pattern on the 1-hour chart, indicating the possibility of a continuation of the upside. The (RSI) relative strength index is approaching the 50 level, i.e. the market is correcting healthily in a higher consolidation zone.

The immediate resistance level is at 110,000 Dollar, however, a liquidity sweep around the 108,000 Dollar region may occur beforehand, aimed at eliminating late Long orders and absorbing sell liquidity to continue the upward trend.

BTC Price Chart 1 Hour | Source: TradingViewThe bullish target according to the pennant pattern is predicted at $115,000, which coincides with the extended upper trendline. In addition, the next support level is located at $106,748, a break of which could lead to a deep decline towards $104,900.

If Bitcoin rebounds quickly after this decline, the likelihood of continued increases will be reinforced. However, BTC needs to maintain a closing level trending upwards on larger timeframes to confirm the optimistic trend.

Dinh Dinh