Bitcoin Steadies Near $110K as Traders Await Inflation Data, Fed Signals
Bitcoin traded above $110,000, supported by institutional buying and cautious investor sentiment ahead of U.S. inflation data. The cryptocurrency reached a session high of $110,237 and is up 4.2% over the past week, nearing its May peak of $111,814. The Consumer Price Index report is anticipated, with economists predicting a 0.3% rise in core CPI and a 0.2% increase in headline CPI month-over-month. Fed funds futures suggest a 61% probability of a rate cut in September. Analysts indicate the current rally is driven by institutional capital and ETFs, with significant positions influencing market momentum. Japan's Metaplanet plans to raise $5.4 billion for Bitcoin reserves, while BlackRock’s iShares Bitcoin Trust has reached $70 billion in assets. Analysts propose this cycle may evolve into a "supercycle," though risks remain from regulatory changes and market liquidity. Price targets for Bitcoin by year-end range from $180,000 to $200,000, contingent on continued inflows and favorable macro conditions.
