Bitcoin's Major Strategy in Focus
Bitcoin strengthened to around US$64,861 after trading within the US$63,252–US$65,040 range on Thursday (July 30). The largest cryptocurrency asset found support as interest rate pressures eased, although investors remained cautious regarding the Middle East conflict and tech company earnings reports.
The Federal Reserve did not raise interest rates; instead, it maintained them in the 3.50%–3.75% range following a 9–3 vote. Recent data also showed US economic growth slowing to 1.5% in the second quarter, while the monthly Core PCE rose by only 0.1%. These softer figures benefited Bitcoin by reducing the likelihood of near-term rate hikes.
However, annual core inflation remains at 3.3%, well above the Fed's 2% target. New US strikes against Iran and the risk of energy supply disruptions could drive up oil prices and inflation, meaning the possibility of a rate hike at the next meeting has not been entirely ruled out.
The market is also awaiting the earnings report from Strategy following the Wall Street close. The company reportedly holds approximately 843,775 Bitcoin with an average purchase price of US$75,476—higher than the current Bitcoin price. Consequently, while Bitcoin still has the potential to test the US$65,000 level, a failure to hold above that mark could trigger a correction toward the US$63,250–US$64,000 range. (arl)
Source: Newsmaker.id
