Surge in Bitcoin Inflows to Binance Ahead of CPI Report

Bitcoin inflows to Binance surged by over 22,000 BTC in two weeks, reflecting investor caution ahead of the US CPI report. This rise, amidst macroeconomic uncertainty, coincides with market volatility due to tariff changes announced by President Trump. Major cryptocurrencies gained, yet resistance levels pose challenges for Bitcoin’s price trajectory as CPI data approaches.

Bitcoin inflows to Binance have markedly increased in the past two weeks, indicating heightened investor engagement due to macroeconomic uncertainties. An analysis by CryptoQuant shows that Bitcoin reserves on Binance rose by 22,106 BTC, escalating from 568,768 BTC on March 28 to 590,874 BTC by April 9.

The increase in Bitcoin deposits may stem from cautious investor sentiment as they anticipate the upcoming US Consumer Price Index (CPI) report set for April 10. The volatility in the market has been exacerbated by uncertainties regarding US economic indicators and tariff modifications made by President Trump. Some analysts suggest these inflows could signal an impending sell-off, reflecting investor preparation for potential price changes.

Remarkably, the cryptocurrency market experienced gains on Thursday following President Trump’s announcement to defer certain tariffs on several countries. Through a post on Truth Social, Trump indicated a 90-day delay on tariffs for most countries and a reduction of reciprocal tariffs to 10%, while increasing tariffs on China to 125% effective immediately.

Meanwhile, during this surge, prominent altcoins such as Ethereum, XRP, and Solana noted increases of 8%, 9%, and 7% respectively. Bitcoin itself rose nearly 6% within 24 hours, briefly eclipsing the $83,000 mark. Despite these advancements, according to crypto trader Ash Crypto, there are several challenges Bitcoin must overcome before sustaining upward momentum, particularly with the 50-day and 200-day moving averages positioned at $85,826 and $87,000 respectively.

Bitcoin established a support level at $81,000, providing a buffer against potential price declines. As the cryptocurrency approaches significant resistance zones, all attention turns to the CPI figures, expected to show a rise of 2.6%. This economic data could substantially sway market sentiment, either driving Bitcoin past key resistance levels or leading to a phase of consolidation based on the prevailing economic outlook.