First of all, at the time of writing this article, the price of Bitcoin is at $27,581. There is a buying order of approximately $17 million at $27,400 on the Binance exchange. On the other hand, selling orders are distributed up to $28,300. We mentioned earlier that the price of Bitcoin could drop by around $1,200 with a $30 million sell-off. The concentration of liquidity in favor of buyers in the order book is a positive development.

On the daily chart, the RSI is above the 50 level, indicating that buyers have not given up. Tuesday is expected to be calm on the macro front due to the debt ceiling agreement, so the positive trend may continue today. However, investors are concerned about the PCE data, which strengthens the possibility of a rate hike by the Fed in June. This figure has increased for the first time since October and is detrimental to the Fed's fight against inflation.

Therefore, it can be considered normal for the price, which reached $28,400 on Monday, to experience profit-taking. In addition, the possibility of negative data such as wage increases and employment coming on Thursday and Friday makes profit-taking meaningful. Considering the ongoing risk appetite in short positions, it can be understood that a significant portion of investors expect the rally to end.

However, the price of Bitcoin does not always move in the expected direction. Accumulated short positions in futures and details such as the upcoming Hong Kong move can trigger a surprise rally towards $30,000.

Other cryptocurrencies can also start to move based on the path Bitcoin is following. Bitcoin Technical Analysis Commentary

The fact that the bears could not pull the price below the support of $25,811 has excited the bulls. They pushed Bitcoin back into a symmetrical triangle formation on May 28, but higher levels attract selling pressure. This is fueled by the reasons explained above. Bears are trying to halt the recovery at the resistance line of the triangle. If the bulls prevent the price from falling below the 20-day EMA ($27,255), it will increase the possibility of a breakout above the resistance line.

Accordingly, the price of Bitcoin could reach new highs around $30,000 and $31,000. However, daily closes below $27,255 could trigger a new wave of selling towards the support levels of $25,811 and $25,250.

In summary, fundamental analysis appears to be in favor of buyers, while technical analysis supports the buyers as well. In this environment, if the upcoming data is favorable for cryptocurrencies, it increases the possibility of a new peak above $31,000.

Finally, it is important not to have too much hope regarding a rate hike. The latest PCE data has largely clarified the Fed's decision as they have been taking cautious steps. The likelihood of them keeping interest rates unchanged in this meeting and overly optimistic market sentiment is quite low.

This article is not investment advice. Anyone considering investing should do their own research and take their own risks.