Analysts predict a potential Bitcoin USD recovery to $120k in the coming weeks.
Bitcoin (BTC USD) has stayed in the green today, above the $111,000 mark, and price prediction of $120k is once again getting market attention.
Notably, BTC stayed near the flatline, as the broader crypto market recorded a slight recovery.
Also, it has recorded a sharp decline this month, since October 10, when the crypto lost the brief support at $120k.
Since then, BTC price has struggled to reclaim the level, as the US-China trade war tensions continue to dampen the investors’ sentiment.
Besides, the lack of any positive catalysts has also continued to weigh on market confidence, which has further worsened the scenario of the broader market.
However, the latest developments indicate that BTC is gearing up for a massive recovery. For context, the latest US CPI data showed that inflation had cooled last month.
The latest economic data also cemented bets over a potential Fed rate cut as soon as next week, further bolstering market confidence.
Meanwhile, the lower policy rates usually make the risk-bet assets like Bitcoin and altcoins more appealing to traders.
In addition, the liquidity expectations amid the Fed rate cut bets hint at a robust Bitcoin price recovery ahead.
Bitcoin USD price soared more than 0.8% in the last 24 hours and traded near the brief $112,000 mark, but its trading volume paints a gloomy picture.
The one-day trading volume of the crypto fell more than 31% to $36 billion despite the latest price surge.
However, the latest pump has helped offset the recent losses in Bitcoin price, as evidenced by a surge of over 4.4% in its weekly value.
Over the last 30 days, the crypto has added nearly 0.4% in its price. Meanwhile, the market pundits attributed the recent recovery to the latest US CPI inflation data, which has alleviated market concerns.
For context, the latest US CPI data showed that the September inflation came in at 3%, lower than the market expectations of 3.1%.
In addition, the Core CPI, which excludes the food and energy prices, also came in at 3% on a YoY basis and 0.2% on a monthly basis.
Both the figures came in lower than the expectations of 3.1% and 0.3%, respectively.
Amid the cooling inflation data, the market participants are anticipating a continuing rally in Bitcoin USD as well as in the altcoins. Besides, it has also cemented bets over a likely Fed rate cut next week.
According to the CME FedWatch Tool, the odds of a Fed rate cut on October 29 sit at 98% now.
This development is expected to trigger market liquidity, which in turn could trigger a massive rally in Bitcoin price.
Commenting on that, analyst Michael van de Poppe said that a likely Bitcoin price breakout is expected as soon as next week.
He noted that holding the $111,900 support remains crucial for BTC price to continue its upside run.
In addition, the next major target for the crypto lies at $119,504 and $123,288. Having said that, it seems that the market experts are still bullish over a northward run for the asset in the final quarter of the year.
Echoing a similar sentiment, expert Rekt Capital said that BTC USD has a major support at $109,433 and the resistance lies at $114,424.
However, breaking the level could trigger a massive rally for the asset, potentially taking it to $123k.
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