Crypto recovery could gain pace as CPI data turns out favorable

The inflation levels for the US in July turned out lesser than expected, which has led to traders hoping for crypto recovery to gain momentum.

The latest consumer price index (CPI) report has revealed inflation in the US to be 3.2% for July. The increase was lesser than what economists had predicted. As a result, the crypto market has shown no signs of stress in the last 24 hours. Bitcoin is trading smoothly within its earlier trading range, leading to higher hopes for a smooth crypto recovery.

Bulls could place their next target for BTC at $30000. Though the psychological resistance has formed at $29500, analysts believe BTC can cross the mark soon. The week could end on a balanced note for the crypto market with negligible losses.

Since the inflation outlook has improved, the Fed could hit a pause with their rate hikes. The event could further propel BTC towards $31000 or even $32000. Though Bitcoin’s buyer support was strong at $29000, sentiments have hinted at assistance from BTC bulls at $29500.

The global macroeconomic climate is also moving towards stability. It is another positive factor for the crypto market.

BTC/USD 1D price chart

Bitcoin is currently trading at around $29400 on August 11, 2023, with BTC/USD going down by 0.3% in the previous 24 hours. BTC/USD is trading lower than its 20-day EMA (29,460.60) as BTC’s 24-hour volume decreased to around $11 billion. Bitcoin has seen around 77.43% returns on a year-to-date basis.

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