spot_imgspot_imgspot_img

Bitcoin Price Returns to a Volatility-Free Existence After US Inflation Data

  • Market experts expect Bitcoin and Ethereum to remain stable before a potential rally supported by the easing of macroeconomic conditions.
  • According to data, Bitcoin has dropped by 0.53% in the last 24 hours, trading at $29,403, but has increased by 0.66% on a weekly basis.
  • Mary Daly, the president of the San Francisco Fed, said in an interview that the latest CPI data did not indicate that the central bank had overcome inflation.

After the inflation data in the US, the price of Bitcoin fell below $29,500 and returned to a low-volatility market; What will happen now?

Bitcoin Price Dropped Below $29,500

Bitcoin (BTC) (36)

The Consumer Price Index (CPI) is one of the primary assessments of the Federal Reserve when determining interest rate policy. Last month’s June report was the lowest level in two years, and broad expectations point to another decrease in July. And these predictions were correct.

The price of Bitcoin has fallen below $29,500 today. Market experts expect Bitcoin and Ethereum to remain stable before a potential rally supported by the easing of macroeconomic conditions. According to data, Bitcoin has dropped by 0.53% in the last 24 hours, trading at $29,403, but has increased by 0.66% on a weekly basis.

The latest Consumer Price Index (CPI) data showed an appropriate level of CPI growth as economists predicted. The Consumer Price Index (CPI) increased by 0.2% in July, and Core CPI, excluding food and energy, also increased by 0.2%. The Fed believes that due to a 3.2% increase in CPI and a 4.7% increase in Core CPI, the likelihood of not raising interest rates in September as part of its fight against inflation policy is lower.

In addition to macroeconomic factors, analysts continue to question why Bitcoin has not surpassed $30,000. The headline Consumer Price Index (CPI) report published by the US Department of Labor on Thursday showed a 0.2% increase in July, raising the inflation rate to 3.2%. This is lower than the 3.3% predicted by analysts.

Factors Affecting Bitcoin’s Price Movement

According to recent reports, analysts and stakeholders in crypto trading firms continue to point out uncertainties such as the approval of a spot Bitcoin ETF by the SEC, miners’ profitability before the Bitcoin halving, lack of new retail market participation, and strong resistance in derivative trading. These contribute to a tight trading range and suppressed volatility.

Although many adrenaline-addicted crypto traders may miss the volatility, Bitcoin seems to be a really good store of value these days. On the market calendar, analysts are watching August 13th; the first deadline for ARK Invest’s spot Bitcoin exchange-traded fund (ETF) application in the US. ARK initially submitted the application in April and then resubmitted it in July with a modification.

Cathie Wood, CEO of ARK Invest, stated in a statement on Monday that if the US Securities and Exchange Commission decides to approve, it will likely approve multiple spot Bitcoin ETF applications simultaneously.

Furthermore, investors should evaluate the US Producer Price Index report today. An increase in inflation pressure could increase the likelihood of a Fed interest rate hike in September and intensify recession fears.

On Thursday, Mary Daly, the president of the San Francisco Fed, said in an interview that the latest CPI data did not indicate that the central bank had overcome inflation. She also added that the Fed’s commitment to achieving a 2% inflation target continues unabated.

The Fed will meet on September 19th to determine the future movement of interest rates, currently between 5.25% and 5.50%, the highest level in 22 years. CME FedWatch sets the probability of an interest rate increase in September at 89.0%.

Don't forget to enable notifications for our Twitter account and Telegram channel to stay informed about the latest cryptocurrency news

spot_imgspot_imgspot_imgspot_img

Latest News

XRP Surges Over 9%: Analysts Eye $2 Milestone Amid Altcoin Rally

This article explores the recent surge in XRP's value, surpassing the $0.64 threshold, and the optimistic projections by market analysts for its potential to reach $2, marking a significant milestone amid the altcoin rally.

Bitcoin BTC’s Resilience Shines as Over 1 Million Addresses Fuel Accumulation Surge

In a recent display of resilience, Bitcoin edges close to its all-time highs, buoyed by significant accumulation from over 1 million addresses and insights from leading analysts predicting a bullish market cycle.

Bitcoin Hits Local High with 97% of Addresses in Profit: A Look into HODLer Sentiments

In the wake of Bitcoin's surge to a new local high, an impressive 97% of BTC addresses are now in profit, reflecting robust market health. However, the cautious stance of long-term holders signals mixed market sentiments.

Bitcoin Cash Surges 40% Ahead of Halving and Jessica Upgrade!

In a remarkable 24-hour period, Bitcoin Cash (BCH) soared 40%, driven by anticipation for its halving event and the implementation of an adaptive block size limit algorithm, signaling strong investor confidence and a bullish outlook for the cryptocurrency.

Bitcoin Hits New 2024 High: 671,000 BTC Accumulated by Whales in Key Demand Zone

Bitcoin's impressive rally to a new 2024 high is underpinned by a massive accumulation of 671,000 BTC by one million addresses, highlighting strong investor confidence and setting a robust support level.
spot_imgspot_imgspot_imgspot_img

PRO Analysis

Ethereum Breaks $3K as Rally Continues: What’s Next for ETH?

This article dives into Ethereum's recent surge past $3,000, analyzing the technical indicators and market dynamics driving its ascent and future prospects.

Will Bitcoin Rise To $50,000? Current BTC Analysis

Bitcoin is trading at $48,400 and may rise to $50,777 if it closes above $48,200. However, caution is advised in the range of $50,777 - $52,000. Corrections are common in the crypto market, so careful consideration is necessary before spot investments.

Where is the Solana Rise Target? Current SOL Analysis!

Solana is trading near the $108 resistance on the 8-hour chart, with a potential target of $111.84 if it surpasses this level. However, caution is advised in the $111.84 - $117.20 resistance range on the 6-hour timeframe.

Medium Term Ethereum Technical Analysis! What Awaits Its Investors?

When examining the medium-term technical chart of Ethereum, strong buying pressure is observed, pushing the price up from the $2139 support to the $2350 region. However, for the price to sustain its upward movement, it needs to surpass the $2407 resistance.

Can Bitcoin Fall To $35,000 Levels? Current BTC Analysis

When examining Bitcoin's 5-day technical chart, the analysis from January 18 is ongoing, indicating a continued downward movement from the $48,189 level. Bitcoin needs to close 5-day candles above the $44,200 resistance to gain momentum for an upward trend. 
Lucien Renard
Lucien Renardhttps://en.coinotag.com/
Lucien Renard is a 24-year-old writer specializing in cryptocurrency analysis and price action. With a focus on technical analysis, Lucien provides valuable insights into market trends and potential opportunities for investors.
spot_imgspot_imgspot_imgspot_img

XRP Surges Over 9%: Analysts Eye $2 Milestone Amid Altcoin Rally

This article explores the recent surge in XRP's value, surpassing the $0.64 threshold, and the optimistic projections by market analysts for its potential to reach $2, marking a significant milestone amid the altcoin rally.

Bitcoin BTC’s Resilience Shines as Over 1 Million Addresses Fuel Accumulation Surge

In a recent display of resilience, Bitcoin edges close to its all-time highs, buoyed by significant accumulation from over 1 million addresses and insights from leading analysts predicting a bullish market cycle.

Bitcoin Hits Local High with 97% of Addresses in Profit: A Look into HODLer Sentiments

In the wake of Bitcoin's surge to a new local high, an impressive 97% of BTC addresses are now in profit, reflecting robust market health. However, the cautious stance of long-term holders signals mixed market sentiments.