Bitcoin Price: $80,000 Per BTC Beckons On Softer US CPI Inflation Data

Bitcoin Price: $80,000 Per BTC Beckons On Softer US CPI Inflation Data

Bitcoin price made a significant headway on Wednesday amid the anticipation around the US Consumer Price Index (CPI) data, which came out out flat in May.

Trading at $69,430 during the US session on Wednesday, BTC shows potential to keep going higher this week. The largest cryptocurrency now boasts a 4% increase in 24 hours, considering the drop to $66,000 on Tuesday.

Also moving higher are altcoins with Toncoin (TON), Dogecoin (DOGE), Solana (SOL), and Ethereum (ETH) leading the charge. With the general trend back in the green, the total market cap is up 3.4% to $2.66 billion.

Bitcoin Price At $80,000 Beckons As US CPI Data Comes In

The last two days have been quite eventful for the cryptocurrency market, starting with the anticipation of inflation data and the Federal Open Market Committee (FOMC) meeting which started on Tuesday.

According to the Bureau Of Labor Statistics  (LBS), the CPI remained unchanged in May, matching the figure in April. However, the measure increased to 3.3% on an annual basis.

Market watchers had projected for the CPI to shoot up in May by 0.1% along with a 3.4% annual rise. As for the core CPI, which excludes the prices of food and energy, considered to be volatile soared 0.2% month-over-month and 3.4% from a year ago. Economists had projected 0.3% and 3.5% core CPI.

The softer CPI report comes on the last day of the FOMC meeting, which may provide insight into the Federal Reserve’s plans for the first rate cut. Nevertheless, investors do not expect a rate cut announcement from the ongoing meeting. Positive notes and remarks from Jerome Powell, the Fed’s chair could shape a bullish outlook for Bitcoin and the crypto market.

Bitcoin Price Analysis: Assessing Short-Term Technical Picture

The four-hour chart reveals a stronger technical structure for the largest digital asset starting with a buy signal from the Moving Average Convergence Divergence (MACD) indicator.

Bitcoin price chart | Tradingview
Bitcoin price chart | Tradingview

Bitcoin now sits above the Exponential Moving Averages (EMAs) including the 20-day, the 50-day, and the 200-day. Traders will find it liberating with BTC above the $70,000 mark.

Above this level the market will shift attention to two key levels; $72,000 and the previous all-time high close to $74,000. Bitcoin price can close June touching $80,000 backed by improving sentiment among investors, especially from the stock market.

Bitcoin ETF Volumes On The Rise

The approval of Bitcoin ETFs in the US in January was a game changer for the crypto market. The new products made it possible for investors to buy shares of BTC directly on stock exchanges like Nasdaq.

This increased demand for Bitcoin in addition to improving sentiment, BTC could hit a new record high in March even before the halving cycle in April.

Bitcoin ETF stats | SoSoValue
Bitcoin ETF stats | SoSoValue

As more investors, especially institutional seek exposure to Bitcoin, the price will rise in tandem with the high demand. On top of this, the reduction in supply due to the halving would further fuel the rally, paving the way for a massive eyeing $100,000 by the year-end.

The post Bitcoin Price: $80,000 Per BTC Beckons On Softer US CPI Inflation Data appeared first on CoinGape.


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