Bitcoin (BTC) price led the wider crypto market in a mild rebound

Bitcoin (BTC) price led the wider crypto market in a mild rebound in the past 24 hours, following the U.S. CPI report that dropped to 2.8 percent

Bitcoin (BTC) price led the wider crypto market in a mild rebound in the past 24 hours, following the U.S. CPI report that dropped to 2.8 percent below expectations of 2.9 percent.

The flagship coin pumped around 2 percent in the last 24 hours to trade about $83,282 by 07:18 ET on Thursday, March 13.

As a result of the sudden pump, the fear of further crypto capitulation significantly declined. The Bitcoin fear and greed index jumped from 34 percent, denoting market fear, to around 45 percent, representing the neutrality of traders.

Bitcoin Chart Insights and Key Midterm Targets

Since Bitcoin price dropped below the crucial support level of around $92k, on-chain data from Santiment shows notable traders’ exhaustion. Furthermore, every dip has turned out not to be the expected bottom, thus leading to further downside risks.

Want to know if #Bitcoin $BTC is in a bull or bear market? Watch this! pic.twitter.com/c4AhsZT27m

From a technical analysis standpoint, Bitcoin price could experience a sharp V-shaped reversal in the coming weeks. In the daily timeframe, Bitcoin price has formed lower lows but the Relative Strength Index (RSI) has formed a bullish divergence.

According to crypto analyst Ali Martinez, Bitcoin price must hold above the 50-week Moving Average (MA) to avoid a historical capitulation towards the 200-week MA. Currently, the 50-week MA is hovering around $75.5k whilst the 200-week MA is hovering around $46k.

Want to know if #Bitcoin $BTC is in a bull or bear market? Watch this! pic.twitter.com/c4AhsZT27m

From a bullish perspective, Bitcoin price must consistently close above the resistance/support range between $92k and $95k to validate a rally beyond $109k. Furthermore, more than 1.2 million Bitcoin addresses, out of the 54 million on-chain holders, purchased 726k BTCs at around $95k.

Reasons to Remain Bullish Ahead

Bitcoin price will eventually follow gold price, which has rebounded towards its all-time high. Furthermore, the ongoing adoption of Bitcoin by nation-states, led by the United States, confirms the fact that BTC is digital gold.

Meanwhile, the U.S. spot BTC ETFs ended a two-week losing streak with a $13.3 million cash inflow on Wednesday. Despite BlackRock’s IBIT losing $47 million on Wednesday, ARKB saved the day with a net cash inflow of about $82.6 million.