Bitcoin Price Trends After June CPI Data Release
The June Consumer Price Index (CPI) data showed rising inflation, directly affecting the Bitcoin price. Inflation reached 2.7% year-over-year, the highest since February, reducing hopes for a July interest rate cut. This pushed Bitcoin below $120,000, a key level for market participants.
CPI Data’s Impact on Bitcoin
After the CPI release, Bitcoin surged from $16,500 to $118,400, demonstrating its resilience. Meanwhile, the US Dollar Index (DXY) climbed to 98.5, marking a 2.1% July increase.
Key Market Takeaways
- Bitcoin’s near-term outlook remains uncertain due to conflicting inflation signals
- Core CPI provided modest relief, but rising headline inflation concerned traders
- CME FedWatch indicates a 54.3% probability of September rate cuts
Crucial Bitcoin Price Levels
To confirm bullish momentum, Bitcoin must break through $119,250–$120,700. Success here could drive prices above $123,000. A softer Producer Price Index (PPI) might support this, while stronger PPI data could test $115,000–$110,000 support.
Long-Term Perspective
Analysts including Magus and Jelle view current levels as potential accumulation zones, citing Bitcoin’s strong underlying trend and historical support levels.
