Key takeaways:
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Bitcoin investor sentiment hits a 7-month excessive, with a bullish pennant forecasting a rally to $115,000.
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At this time’s CPI print and the possibility for a lower-than-expected PPI on June 12 might drive BTC value greater.
Bitcoin (BTC) value briefly rallied above $110,000 on Wednesday after US Client Worth Index (CPI) knowledge got here in cooler than anticipated at 2.4% year-over-year (forecast: 2.5%). Core CPI additionally beat estimates at 2.8% (forecast: 2.9%). The US Greenback Index (DXY) plummeted to 98.5, a multimonth low, with markets swiftly adjusting to the Federal Reserve’s rate of interest expectations.
Nevertheless, the percentages of a Federal Reserve rate of interest lower subsequent week stay low as headline CPI is rising once more for the primary time since January 2025.
The general market sentiment round Bitcoin is bullish, and a cooler CPI print might probably push costs to new highs above $115,000 this week. A value rally would possibly happen on June 12, after the US Producer Worth Index (PPI) knowledge is launched. The US PPI is anticipated to rise by 0.2% month-over-month, with the core PPI at 0.3%.
A lower-than-expected print might amplify Bitcoin’s rally by reinforcing dovish Fed expectations over the second half of 2025. A better-than-expected PPI or a shock macroeconomic growth might result in pullbacks.
Cointelegraph additionally reported that Bitcoin is closing in on a brand new excessive, buoyed by renewed optimism over a US-China commerce deal introduced by US President Donald Trump.
The settlement is anticipated to scale back macroeconomic threats that dragged BTC costs to a year-to-date low of $74,500 in April after Trump’s tariff bulletins. This deal, described as “completed” pending closing approval, has sparked a risk-on temper, with BTC consolidating below $110,000.
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Bitcoin sentiment hits 7-month excessive
In line with knowledge analytics platform Santiment, BTC’s bullish sentiment reached a seven-month excessive, as optimistic social media feedback, tracked throughout X and Reddit, have doubled destructive ones since Trump’s election win in November 2024.
The bullish sentiment can be mirrored in BTC’s low funding fee at an all-time excessive value vary. Crypto Dealer Jacob Canfield acknowledged,
“I truthfully do not bear in mind a time the place I’ve seen costs going up this a lot and funding charges being utterly flat. This normally signifies that the underlying rallies are principally spot pushed. Undecided how we will see large promote offs with out excessive leverage out there. Most definitely this implies greater.”
From a technical standpoint, Bitcoin is forming a bullish pennant on the 1-hour chart, signaling potential bullish continuation. The relative energy index (RSI) is resetting close to the 50 stage, indicating a wholesome cooldown inside a better consolidation vary. Rapid resistance lies at $110,000, however a liquidity sweep round $108,000 might happen first, clearing late lengthy orders and absorbing sell-side liquidity to gasoline additional upside.
The pennant’s measured transfer tasks a bullish goal of $115,000, aligning with the higher trendline extension. Extra value help lies at $106,748, with a break under risking a drop to $104,900. A swift restoration from this drop might improve BTC’s upside potential, however BTC should keep a bullish shut on the upper time chart.
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This text doesn’t include funding recommendation or suggestions. Each funding and buying and selling transfer entails danger, and readers ought to conduct their very own analysis when making a choice.