United States inflation data fuels Bitcoin surge | JQJO

United States – Bitcoin surged past $65,000 on Wednesday, touching an intraday peak of $65,518 and pushing its market capitalization above $1.3 trillion. The latest advance extended a rally that began on July 14, as traders responded to softer-than-expected U.S. producer price index data and easing consumer inflation, which reduced near-term pressure on the Federal Reserve to raise interest rates. The move followed a break above the $64,000 resistance level on Tuesday, when Bitcoin climbed to an intraday high of $65,511 before briefly pulling back.

United States – The continued strength on Wednesday carried the cryptocurrency through additional resistance around $65,000 and coincided with a wave of liquidations across digital asset markets. Roughly $209 million in short positions were wiped out as prices accelerated higher, reflecting traders who had bet against further gains. Market participants cited the cooling inflation backdrop and lower expectations for a July rate hike as key factors behind the move. According to CME’s FedWatch tool, the implied probability of the Federal Reserve raising rates at its upcoming July meeting fell to 10.2 percent, down from 31 percent a week earlier.