While the Bitcoin price (BTC) is holding up remarkably well, we are seeing several altcoins, including XRP and Solana (SOL), take a significant dip. All eyes are on this afternoon, when crucial inflation figures from the US are due to be published.

Bitcoin Price Fights for Crucial Support

Bitcoin has been struggling for days with the resistance around $94,000. Although the boundary was briefly breached, the price bounced off again yesterday. BTC is currently trading around $92,000, a slight decline of just over one per cent compared to the previous day.

Nevertheless, the situation remains stable. As long as the Bitcoin price stays above $91,000, buyers retain control of the market. A drop below this could open the door to a test of the $90,000 mark. Conversely, $94,000 remains the key: if this level is definitively breached, Bitcoin could potentially push through towards $96,000 or even $98,000.

Altcoins See Greater Declines

While Bitcoin is relatively resilient, the losses are greater for altcoins today. XRP is down by over 4%, Solana (SOL) is down by almost 3%, and Cardano (ADA) also has to relinquish more than 2%. Ethereum (ETH) follows Bitcoin's movement with a loss of approximately 1.1%. However, it is not an entirely red picture: Zcash stands out positively with a rise of over 10%. Today's biggest decliner is Virtuals Protocol.

Waiting for Inflation Figures from America

The reason for the current market restraint in the crypto market lies partly in the upcoming publication of the US PCE price index (Personal Consumption Expenditures) this afternoon at 14:30 Central European Time (CET).

This inflation figure is of great importance because the US central bank (the Fed) relies heavily on it when determining monetary policy.

Is inflation better than expected? If the figures are lower than anticipated, this could increase the likelihood of an interest rate cut. This is generally regarded as positive news for the Bitcoin price and the broader crypto market.

Is inflation higher than expected? If inflation turns out higher than expected, this could cause uncertainty in the markets, potentially leading to further selling pressure and price drops.

Disclaimer: The crypto market is volatile. This article is purely informational and does not constitute financial advice. Always conduct your own research before investing.