Bitcoin (BTC) Price Prediction & Analysis: Is The Selling Over? CPI Report Fuels Bull Case for Recovery #CriptoNews

Tldr

• Bitcoin has experienced a recent recovery, rising to $81,647 after weeks of decline
• Whale selling pressure on Binance appears to be decreasing, potentially signaling market stabilization
• Positive CPI data showing cooling inflation has sparked a market rally
• Binance maintains dominance with 45.5% of USDT futures market and 35% of spot trading volume
• Analysts suggest further gains possible if favorable economic conditions persist

Bitcoin’s price has shown signs of recovery in recent days, rising to $81,647 despite experiencing broader downward pressure over longer timeframes. The world’s largest cryptocurrency had declined 8.4% over the past week and 16.2% over the past month, but the 24-hour trend suggests a potential shift in market direction.

The recovery comes as analysts observe changing patterns in whale activity on major exchanges. Data from CryptoQuant analyst Darkfost indicates that large Bitcoin holders on Binance may be reducing their selling pressure.

This shift could mark an end to the correction phase that has dominated Bitcoin’s price action in recent weeks. The Bitcoin Exchange Whale Ratio on Binance, which measures the proportion of the top 10 inflows to total inflows, has been declining.

When this ratio decreases, it typically signals reduced selling activity from major holders. This pattern has often preceded bullish market movements in the past, making it a key metric for traders watching for signs of recovery.

Binance’s role in Bitcoin price action cannot be overstated. The exchange maintains a 45.5% share of the USDT futures market, placing it far ahead of competitors in derivatives trading.

In the spot market, Binance accounts for 35% of total trading volume. This dominance makes whale activity on the platform particularly important for understanding broader market trends.

According to Trader Edge on X, recently we have seen bullish divergence on the daily chart, this can be the first signs of a possible reversal.

$BTC Price

Bitcoin finding support on this trendline

Bullish divergence on the daily chart, usually a good sign for a reversal

All eyes on CPI today! pic.twitter.com/3KshmJzMYr

— Trader Edge (@Pro_Trader_Edge) March 12, 2025

CPI Report

Another factor contributing to Bitcoin’s recent price movement is the latest Consumer Price Index (CPI) report. The data showed signs of cooling inflation, which has increased investor confidence in cryptocurrency markets.

Lower inflation readings reduce pressure on the Federal Reserve to raise interest rates. This creates a more favorable environment for risk assets like Bitcoin, as monetary policy may become less restrictive.

The market response was swift, with Bitcoin experiencing a significant price jump following the CPI news. Traders have reacted positively to the possibility of improved financial conditions.

The connection between macroeconomic factors and Bitcoin’s price has grown stronger in recent years. As institutional investors have entered the market, traditional economic indicators have become increasingly relevant for cryptocurrency trends.

Looking ahead, analysts suggest that Bitcoin’s momentum could continue if economic conditions remain favorable. The sustainability of the current rally will depend on upcoming inflation reports and Federal Reserve decisions.

Market observers are also watching for continued changes in whale behavior. If large holders maintain reduced selling pressure, Bitcoin could see further price stabilization or increases in the coming weeks.

The current recovery follows a period where some analysts had predicted a potential bottom around $70,000. The recent upturn suggests the market may have found support above this level.

Institutional interest remains a key factor in Bitcoin’s long-term outlook. As large investors adjust their positions based on economic data, their actions will continue to influence price movements.