Recently, the price movement of Bitcoin (BTC) has made market participants feel somewhat uneasy. Yesterday, the key support level was raised to around $116,900, and the current price is fluctuating in that area.

The CPI data to be released tonight will be an important market catalyst, likely testing the strength of this support level. It is expected that before the data is announced, the support level may further rise to around $117,000.

If the CPI data is released and the BTC price effectively breaks below this level, then around $113,000 will become the next important observation point. If it drops to this level, it may likely indicate the start of a daily level correction, which could be the first wave in the downtrend after reaching a new high. Investors can refer to the market performance after May 22 to understand the possible trend.

However, it should be emphasized that this is only a preliminary analysis based on historical patterns. It is still too early to determine whether this is a continuation adjustment within three waves of correction or whether it will evolve into a deeper five-wave decline; further observation of market reactions is needed to draw a more definite conclusion.

In the current situation, the daily support level at $116,900 is still holding for now, but with the upcoming CPI data test, there is uncertainty about whether it can continue to provide effective support.

Despite the current slightly gloomy market atmosphere, opportunities still exist. Investors can pay attention to potential pullback opportunities, especially in the altcoin sector where potential investment opportunities may arise. However, it is essential to conduct thorough research and risk assessment before making any investment decisions.

Ethereum (ETH) is another important cryptocurrency in the market, and its trend is also worth closely monitoring, as it often reflects the overall trend of the entire cryptocurrency market.

As the CPI data is about to be released, the market may迎来 a new round of volatility. Investors should remain vigilant and closely monitor market trends.