Bitcoin (BTC): An imminent rise with US disinflation!

According to analysts, a significant uptrend seems to be looming in the crypto market. Bitcoin (BTC) could experience a major upside thanks to a favorable macroeconomic situation for cryptos, namely disinflation.

Disinflation exceeding expectations in the United States!

Yesterday, bitcoin (BTC) broke above the $31,700 mark and closed the day in positive territory.

This increase is partly attributed to the US Producer Price Index (PPI) figures released yesterday. Indeed, the US annual PPI was lower than expected, which reinforces expectations of falling inflation. Nevertheless, the markets were convinced that a further increase was to be expected, two weeks before the FED’s decision on interest rates.

According to’FedWatch tool of CME Group, the probability of a 0.25% increase in the key interest rate was 95%.

Caleb Franzen also said that everything points to growing disinflation in the coming months. He argued that disinflation directly influenced bitcoin’s rise throughout 2023.

“…but much of bitcoin’s (BTC) upside momentum comes from disinflation,” he explained.

Analyst predicts breakout to $38,000 for bitcoin (BTC)

As for bitcoin itself, a sense of optimism prevailed.

Alongside the macro figures, an announcement was made regarding the launch of the first Bitcoin ETF in Europe this year.

Michaël van de Poppe, founder and CEO of Eight, hoped that the moment of the breakout was approaching.

“Bitcoin (BTC) is holding above $30,200 and is likely to revisit its range highs,” he said.

” another test and we will see a quick breakout down to $38,000.»

Others, including the popular trader Skew, suggested that despite continued consolidation, a bullish comeback for bitcoin (BTC) was imminent. Meanwhile, another trader, Jelle, observed a triangle just below the critical resistance at $31,000. Either way, a bull market is looming on the horizon with this good crypto-friendly news.