QCP Capital: It is expected that Bitcoin will consolidate in the range of $92,000 to $95,000 during the U.S. market closure today

ChainCatcher news, QCP Capital's latest analysis indicates that Bitcoin rebounded to $95,200 last night after successfully testing the key support level of $92,500. However, following the news that the U.S. government plans to sell seized Silk Road Bitcoins, the outlook for Bitcoin turned bearish in the Asian early session today.

Cryptocurrency prices continue to be affected by macroeconomic headwinds, with last night's release of the Federal Reserve's meeting minutes showing a more hawkish stance. The Fed stated that it would slow the pace of interest rate cuts due to rising inflation risks. The ADP employment report released yesterday also added to macro uncertainty, showing a slowdown in private sector hiring and wage growth. This stands in stark contrast to the stronger job market depicted by Tuesday's JOLTS job openings data.

In the options market, the curves for all maturities steepened, with the 3-6 month spread widening by 1.5 volatility points, and the 6-12 month spread rising above 1 volatility point. Trading desks continue to observe that near-term volatility is under pressure, with at-the-money options expiring on January 17 dropping by 3 volatility points compared to last night.

QCP expects that during today's U.S. market holiday, Bitcoin will consolidate in the $92,000-$95,000 range. If it breaks below $92,000, it may further test the $90,000 round number.