January 14, 2025 Bitcoin (BTC) Market Analysis: Last night, the Bitcoin price fell and broke below the neckline but did not continue the downward trend. Instead, it quickly rebounded above the neckline, and trading volume continued to expand, with buying power significantly strengthening. This phenomenon aligns with the spring effect in volume-price analysis and is a typical bullish pattern in a bull market.

The expected value of the December Consumer Price Index (CPI) is 2.9%, and this expectation may have already been reflected in yesterday's significant drop. As long as the CPI data released on Wednesday does not deviate significantly from the expected value, the likelihood of Bitcoin continuing to decline sharply is relatively low. Therefore, it can be inferred that the possibility of Bitcoin's 'head and shoulders' pattern failing is quite high.

However, the large trading volume during yesterday's drop indicates that there are still many unstable chips in the market. Additionally, the current funding situation and the buying conditions of Bitcoin ETFs are not optimistic, so the timing for a real Bitcoin increase may not yet be ripe.

Subsequent Bitcoin market trends may exhibit the following two scenarios:

Situation One: If the U.S. December CPI data released tomorrow night meets expectations, under this circumstance, the probability of Bitcoin falling below the neckline again is low, and it may even test the neckline position again, thereby forming a small 'inverse head and shoulders' pattern.

Situation Two: If the U.S. December CPI data is significantly higher than expected, it may trigger market expectations for interest rate hikes, and Bitcoin will likely fall below $90,000 again, possibly even breaking below yesterday's lowest price. From the rebound volume of Bitcoin after last night's false breakdown, the market seems to be leaning more towards the likelihood of this situation occurring.