In a week that seemed glorious for bulls, Bitcoin reached a new all-time high of $124,474, only to plummet to $118,800 following higher-than-expected inflation data in the U.S. The market shifted from euphoric enthusiasm to palpable caution, as $1.89 billion in long positions were liquidated.
Key Points
All-time high and rapid correction: BTC rises to $124,474 and falls by 4% in 24 hours.
Impact of the PPI (Wholesale Inflation): Exceeded expectations, raising fears that the Fed will maintain a restrictive monetary policy.
Massive liquidations: $1.89B in long positions vanish after losing the $118,000 level.
Institutional investors still active: Net inflows of $561.95M this week.
Growing adoption: 213 corporations and governments hold over $228.85B in BTC.
Strengths
Strong and increasing institutional adoption.
BTC remains in a historically high range despite the correction.
Global interest in Bitcoin as a store of value.
Weaknesses
Extreme volatility in the face of macroeconomic data.
Dependence on expectations regarding Fed interest rates.
Retail traders vulnerable to rapid liquidations due to leverage.
Opportunities
Accumulate on pullbacks if you have a long-term vision.
Follow institutional movements as an indicator of confidence.
Potential for new highs if inflation moderates and the Fed eases its stance.
Strategic Conclusion
Bitcoin remains a resilient asset but is highly sensitive to macroeconomic pulse.
Recent movements remind us that the crypto market is not driven solely by narrative, but by the global context.
In this scenario, the key for the investor is discipline, risk management, and a long-term vision, taking advantage of dips as strategic entry points.
