Bitcoin price exceeded $90,000, bringing joy to traders. Altcoins have reached their annual peaks again, increasing interest in these cryptocurrencies.
U.S. Producer Inflation Data Released
Today, U.S. producer inflation data was released. For over two quarters, cryptocurrency traders had faced significant losses in altcoins due to ongoing fluctuations. However, the situation changed as the price of BTC surpassed the $73,777 threshold. The November surge created a precedent for a prolonged period of rising prices.
Inflation Trends and Market Reactions
The Fed must continue its rate cuts, which requires either a decrease in inflation or at least stability. The Producer Price Index (PPI) data, a crucial leading indicator for consumer inflation, was recently released. The annual expectation for core PPI was announced at 3%, up from last month’s 2.8%. Core PPI exceeded expectations at 3.1%. However, the annual PPI was reported at 2.4%, up from 1.8% in the previous month, with the expectation for PPI being 2.3%. Figures around 2% are unlikely to cause significant panic among market participants, although short-term fluctuations may occur, given the unemployment claims reported at 217K against a 220K expectation.
The cryptocurrency market continues to recover, supported by Bitcoin surging beyond $90,000 and positive U.S. inflation data, potentially boosting investor confidence further.
