The price of BTC has risen for the second time in July, with a new price of $31,000. This new development came 24 hours after the United States Consumer Price Index (CPI) data was released. The latest CPI was below expected forecasts, but coincided with the timing of the cryptocurrency’s surge, which market participants embraced with much optimism.
Data issued by the U.S. Bureau of Labor Statistics (BLS) shows that al inflation rate in the United States decreased to 3% in June compared to last year. This result came in below market expectations of 3.1%, reflecting a potential improvement in the inflationary situation.
With the 10-day Exponential Moving Average (EMA) at $30,785.45, the 50-day EMA at $30,742.40, and the 200-day EMA at $30,664.10, the price of Bitcoin is currently above its three exponential moving averages (EMAs). This solid position above these significant EMAs suggests that Bitcoin will trend positively in the foreseeable future.
Investors uneasy about Bitcoin’s performance in the previous months are optimistic due to the current price increase in Bitcoin. It was gathered that market participants are looking for new investment alternatives due to the uncertainties surrounding the traditional financial markets, which has led to an upsurge in interest in Bitcoin.
Cryptocurrencies Profit From The BTC Trend, As Investors Watch Closely
Other digital assets also witnessed a noticeable increase in their prices as a result of the bitcoin sudden surge. A wider market rebound may be seen in the price gains of altcoins like Pundi X, Polymesh, Ethereum, Binance, Litecoin, Kava, Helium, and Ripple.
Ekta Mourya, a cryptocurrency price watcher and an analyst with FXStreet, is still determining how long the current rally will last. They stress the significance of closely following the Federal Reserve’s monetary policy choices and pronouncements since unexpected changes may impact the cryptocurrency market.
Market players are now closely watching the upcoming Federal Open Market Committee (FOMC) meeting set for July 25–26 following the CPI announcement. The United States Federal Reserve’s decisions and remarks at this meeting are anticipated to offer significant hints about the direction of risk asset prices shortly.
The upcoming FOMC meeting will provide additional insight into the trend of risk asset prices, which the cryptocurrency market keenly anticipates. Combined with the drop in inflation, Bitcoin’s strong performance has given investors new hope. The market anticipates a potential additional recovery shortly as the cryptocurrency positions above significant Exponential Moving Averages (EMAs).
Meanwhile, Bitcoin has best the original proposed resistance level, which was initially expected to be very close to the $30,280 price level. According to News BTC’s Aayush Jindal, the retracement was expected to be 23.6% FIB (Fibonacci) retracement level, which fell from the initial $31,631 during the month.
Bitcoin’s first major price resistance started at the $30,500 level before starting a decent recovery to $31,000. Jindal has predicted that Bitcoin’s next price resistance will likely start at $30,750, with 100 hourly Simple moving averages.
Recent data obtained from CoinDesk shows that the current market capitalization of Bitcoin stands at $595.29 billion, with approximately 21.00 million BTC in total supply in the last 24 hours – with 19,427,518 BTC in circulating supply. Also, in the previous 24 hours, an increased trading volume was reported at 430,012 BTC, at $1.23 in transaction fee.