Bitcoin Fails to Hold Weekly Gains as US Stocks Drop 3% Despite Cooling Inflation

On April 10, Bitcoin (BTC) price failed to maintain its weekly gains as US stocks overlooked positive inflation data. The March Consumer Price Index (CPI) numbers, which were released, showed a slowing inflation rate despite market disruptions caused by US trade tariffs. The all items index rose 2.4 percent for the 12 months ending March, down from 2.8 percent over the 12 months ending February. The all items less food and energy index rose 2.8 percent over the last 12 months, the smallest 12-month increase since March 2021.

Despite the positive inflation data, US stocks did not show any relief. The S&P 500 and Nasdaq Composite Index were down 3% and 3.7%, respectively. This was attributed to the market's belief that the strong jobs report and cool inflation data would give the administration the 'green light' to continue the trade war.

Market participants were in a wait-and-see mode after the US paused the majority of its tariff implementations for 90 days. Popular trader Daan Crypto Trades suggested that a reclaim of at least $83,000 was necessary as an initial step for bulls. He noted that BTC was more resilient on the downside and that equities pumped more on the back of the tariff pause.

Analyzing order book liquidity, Keith Alan, co-founder of trading resource Material Indicators, drew attention to both the 21-day and 50-day simple moving averages (SMA) on the daily chart. He summarized that the first attempt at breaking resistance at the 21-Day MA was rejected, but BTC bid liquidity was moving higher, suggesting another attempt. If bulls could flip the 21-Day, there was even stronger resistance where liquidity was stacked around the trend line and the 50-Day MA.

Alan reiterated the role of large-volume traders shifting liquidity above and below Bitcoin’s spot price to influence price action. The actions of one entity in particular, which he previously dubbed “Spoofy the Whale,” remained a point of consideration. If 'Spoofy' would give a roof pull, there would be a shot at the 100-Day and the 2025 open at $93.3k, which is the gateway back to 6-figure Bitcoin.