Crypto
Home›Crypto›Bitcoin›Bitcoin jumps above $64,000 after softer June inflation
Bitcoin jumps above $64,000 after softer June inflation
June headline CPI fell 0.1% month over month, lifting rate cut expectations even as core inflation stayed around 2.9% year over year.
Bitcoin rose above $64,000 after June inflation data came in softer than expected, which improved traders’ outlook for Federal Reserve rate cuts. According to Bitcoin Magazine, headline CPI fell 0.1% in June from the prior month, taking the annual rate to about 3.9% from 4.2% in May.
The report said a near 10% drop in gasoline prices drove much of the decline, while markets weighed risks from still-sticky underlying inflation. Core CPI, excluding food and energy, held at about 2.9% year over year, above the Fed’s 2% target.
Bitcoin had been under pressure from leverage flushes and geopolitical risk before turning higher on the data. Bitcoin Magazine said the coin traded near $63,800, up about 2% on the day, as Treasury yields eased and the dollar gave back ground.
While softer inflation helped, the article highlighted uncertainty around the next Fed steps, including upcoming testimony from Fed Chair Kevin Warsh and concerns that underlying price pressures could persist. It also noted that gasoline-led optimism could fade quickly amid rising oil prices tied to reported actions affecting Iranian shipping and the Strait of Hormuz.
Latest closeGasoline (RBOB) $2.974 ▼0.4%|Bitcoin $64,752.03 ▲4.0%