Bitcoin Dips Below $66K After CPI Data, But Remains Rangebound
Bitcoin price remained rangebound on Friday despite benefiting from a weaker dollar after some relatively softer consumer inflation readings for April, although the token remained comfortably rangebound as sentiment towards crypto remained subdued.
The world’s biggest cryptocurrency had pushed as high as $66,700, before losing momentum and settled around $65,200, down by 1.43% in the last twenty-four hours.
Ether changed hands around $2940, down by 2.7% in the similar time frame.
Bitcoin rebounded on Wednesday after sinking as low as $60,000 earlier this week. The rebound was fueled largely by a slide in the dollar, which hit one-month lows after some softer consumer price index readings for April.
Headline CPI grew at a slower-than-expected pace, while core CPI eased as expected. The readings, which were accompanied by weaker-than-expected retail sales data, pushed up some hopes that inflation will ease in the coming months and give the Federal Reserve more confidence to begin trimming interest rates.
But inflation still remained well above the central bank’s annual 2% target range. A slew of Fed officials also warned in recent weeks that the bank will need much more confidence to begin trimming rates.
This notion limited any major gains in Bitcoin, keeping the token trading comfortably within a $60,000 to $70,000 trading range established over the past two months.
Increased risk appetite, which was reflected in Wall Street hitting record highs, also did not spill over into crypto.
The prospect of regulatory headwinds bode poorly for crypto markets, especially as recent reports suggested the Securities and Exchange Commission was mobilizing more regulatory action against the sector.
The global crypto market cap is $2.36T, a 1.14% decrease over the last day. The total crypto market volume over the last 24 hours is $78.21B, which makes a 18.13% decrease. The total volume in DeFi is currently $7.2B, 9.21% of the total crypto market 24-hour volume. The volume of all stable coins is now $73.02B, which is 93.37% of the total crypto market 24-hour volume. Bitcoin’s dominance is currently 54.57%, an increase of 0.05% over the day.
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