This month, the price of Bitcoin has experienced roller-coaster-like fluctuations. After surging to nearly $70,000, it fell back to $63,000, in sharp contrast to the continuous rise of Nasdaq. According to CoinDesk’s report, the trend of Bitcoin (BTC) has formed a double top pattern, indicating a potential bearish outlook before the release of key data that will impact the Federal Reserve’s interest rate path.
Markus Thielen, founder of 10x Research, pointed out 
. Markus Thielen further added that although the US election and CPI will be positive factors later this year, the market still has the possibility of more steep price corrections.
However, Greg Magadini, Derivatives Product Manager at Amberdata, pointed out that the Federal Reserve’s preferred inflation indicator, the Personal Consumption Expenditures (PCE) price index for May, will be released this week. Economists expect no change in the PCE to be announced this week, while the core PCE month-on-month growth rate is expected to be revised down to 0.1%, lower than the previous value of 0.2%.
The month-on-month growth rate of core PCE has remained at its lowest level in three years. If inflation growth further slows down, the Federal Reserve will have even more reason to cut interest rates again in September, thereby increasing market liquidity and boosting demand for risk assets such as stocks and Bitcoin, thereby providing price support for these assets.
(This article is authorized reprinted from GT Radar)
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