Bitcoin has regained momentum as the United States market increases its buying activity, signaling renewed confidence among investors.
In the last few hours, the price of Bitcoin has surged from $78,500 to $82,000. However, at the time of writing, the price has dropped to $81,845, reflecting a 3.72% decline over the last 24 hours.
The uptrend started around 09:00 UTC, following a period of decline. In the short term, Bitcoin recovered from $78,500, showing renewed bullish momentum. This shows that initial buying started with the European market but the volume was low, and as soon as the US trading session began, the volume spiked with price reaching $82,000.
Just a month ago, Bitcoin hit its all-time high of $109,114.88 on January 20, 2025, but it remains down 25%. At its lowest point of $78,500, it was down almost 30% from its peak.
After hitting a multi-month low of $78,500, BTC surged over 5%, driven by the Personal Consumption Expenditures (PCE) index, the Federal Reserve’s preferred inflation gauge. The January PCE came in at 0.3% month-on-month and 2.5% year-on-year, aligning with expectations and easing concerns after previous inflation overshoots.
Analysts believe Bitcoin’s recent dip has already accounted for the impact of tighter financial conditions from late 2024. With improving conditions, like a weaker USD, lower bond yields, and falling oil prices, a market rebound is expected in March.
The price was in a downtrend before finding support and reversing upward as fresh buying pressure emerged. With strong demand pushing prices higher, traders are closely watching key resistance levels for further bullish movement.
Also Read: Bitcoin Drops to $78k & Fills CME Gap: What’s Next?
