The fact that Bitcoin is still very much respecting the support of 15,000 is a meaningful sign, and it is keeping the hopes alive that bulls are still out there and defending the territory. However, if the price violates this price level, everyone will be looking closely at the next critical price level, 12,000, followed by 10,000. The chances of Bitcoin price touching the 10,000 are slim, but the current sell-off may push the price between the 12,000 to 13,000 price level.
In terms of economic data, today is a very important day as we will see the US CPI reading, and the hope is that the actual number meets the forecast. The current forecast for the CPI y/y is 7.9%, while the previous reading was at 8.2%. The forecast for the CPI m/m is 0.6%, and the previous number came in at 0.4%.
If today's CPI number matches the forecasted number, we will likely see a hunky-dory situation among investors and traders. However, if the CPI reading doesn't print a number below 8%, we are highly likely to be in trouble, and by that, we mean that the market will ack like there is no tomorrow. The reason is that it will spur more conversation and justification for the Fed to continue to adopt the most aggressive monetary policy. However, if the numbers show a weakness in the price action, we could see a dovish tilt in the Fed's monetary policy. In other words, the US CPI data will not only determine the future path of the dollar index, but it will also shape the price action for the US equity market. Traders will likely remain on edge, and trading volume is expected to stay on the muted side until we get the numbers.