Bitcoin prices have risen by over 1% in the last 24 hours to $114,087.95 due to lower-than-expected producer price index (PPI) data.
PPI Data and Its Impact on Bitcoin
Recent producer price index (PPI) data showed that inflation has eased, potentially allowing the U.S. Federal Reserve to lower interest rates. The data came in below expectations, with a 0.1% month-over-month (MoM) figure and a 2.6% year-over-year (YoY) result. This positive news has boosted the crypto market, leading Bitcoin's price to jump from around $111,000 to over $114,000.
CITE_NA: "The PPI report was the cherry on top. It seems to have erased yesterday’s panic over the adjusted NFP numbers and triggered a rally that pushed BTC price back above the trend line."
On-Chain Support for Bitcoin's Uptrend
On the on-chain side, Bitcoin metrics remain supportive of the uptrend. Exchange wallets continue to see outflows, indicating more BTC moving to cold storage as holders expect long-term gains. This reduces available supply on trading venues and can fuel upward moves in the coin price as new demand arises. The number of active addresses doesn’t show major surges, but there's a clear trend of more long-term holders keeping coins off exchanges.
Technical Levels and Barriers for Bitcoin
On the daily BTCUSDT chart, Bitcoin is trading at $114,114, with a session high of $114,459. The coin price has broken out of the consolidation zone between $111,000 and $114,000. The major resistance to watch is at $124,474, marking the next target for bulls. Support levels are at two key zones: the first near $111,008, which marked the top of the recent consolidation, and the second at the 200-day simple moving average, currently at $102,066.56. The RSI is at 54.76, indicating room for more upside.
Bitcoin has a clear path to higher levels as long as macro data remains supportive. Positive inflation news could reignite buying pressure.
