Bitcoin rebounds despite rising US inflation rates
- Bitcoin (BTC) increased by approximately 2.5% to $62,410 following the US inflation report.
- The US Consumer Price Index (CPI) rose by 4.2% year over year in May, marking its highest level in over three years.
- Core inflation, excluding food and energy, increased by an annual rate of 2.9% and a monthly rate of 0.2%.
- Higher energy prices contributed significantly to the CPI increase due to renewed tensions in the Middle East.
- Despite the inflation data, traders viewed it as not severe enough to prompt aggressive Federal Reserve actions.
The recent rise in Bitcoin’s price offers a potential bounce from long-term support zones around $60,000–$62,000, despite ongoing short-term risks as it remains below key resistance levels.
As Bitcoin approaches critical technical levels, its current trading position could lead to a bearish target near $57,800 or a recovery towards $64,000–$68,000 if resistance is broken.(Source)
