Home Bitcoin News Will Bitcoin Rally Above $60,000? What Recent U.S. Economic Data Means for BTC’s Future

Will Bitcoin Rally Above $60,000? What Recent U.S. Economic Data Means for BTC’s Future

Bitcoin price prediction

Bitcoin (BTC) is currently trading just above $60,500, recovering from recent lows. As investors analyze the implications of the latest U.S. economic data, many are wondering if Bitcoin will maintain its upward momentum. In this article, we’ll break down the recent economic indicators, examine how they affect Bitcoin’s price, and offer insights into what might happen next.

Recent U.S. Economic Data: What You Need to Know

On June 28, 2024, two major U.S. economic reports were released that could influence Bitcoin’s price. Here’s a summary of the data and what it means:

1. Core PCE Price Index: The Core PCE Price Index, which measures inflation excluding food and energy prices, came in at 0.1% for the latest month. This is lower than the anticipated 0.2% increase. A lower Core PCE indicates that inflation might be cooling off, which could influence the Federal Reserve’s decisions on interest rates.

2. Revised University of Michigan Consumer Sentiment Index: The Consumer Sentiment Index, which tracks how optimistic consumers are about the economy, fell to 65.6 from a previous forecast of 65.9. This slight decrease shows that people are a bit less confident about their financial futures.

How These Economic Indicators Affect Bitcoin

Inflation Data and Bitcoin:

Lower inflation readings can have a positive impact on Bitcoin for several reasons:

  • Interest Rates: With inflation lower than expected, the Federal Reserve might pause or slow down their interest rate hikes. Lower interest rates can make riskier assets like Bitcoin more attractive because the opportunity cost of holding these assets decreases.
  • Investor Sentiment: If inflation pressures ease, investors may feel more confident investing in assets like Bitcoin rather than holding onto cash or low-yield investments.

Consumer Sentiment and Bitcoin:

The drop in consumer sentiment might seem like bad news, but it’s essential to look at the bigger picture:

  • Economic Outlook: A lower consumer sentiment suggests some concern about the economy. However, this doesn’t always translate into negative trends for Bitcoin. Sometimes, economic uncertainty can drive investors towards alternative assets like cryptocurrencies.
  • Market Reactions: Historically, Bitcoin has shown resilience during periods of economic instability, often attracting investors looking for alternatives to traditional financial systems.

Bitcoin’s Recent Price Movements

As of June 29, 2024, Bitcoin’s price is around $60,695, with a trading volume exceeding $23.9 billion in the last 24 hours. Here’s a breakdown of recent price movements and what they could mean for BTC:

  • Support Level: Bitcoin found strong support at $60,000, a key psychological level for traders.
  • Resistance Levels: The next significant resistance levels to watch are $62,000 and $63,000. These are points where Bitcoin might face challenges moving higher.
  • Technical Indicators: Bitcoin is currently forming an ascending triangle pattern on the charts. This pattern often signals that a breakout could occur, either upwards or downwards.

Current Technical Analysis:

  • Price Chart: Bitcoin’s chart shows that the cryptocurrency is holding above the $60,000 support level. The next major technical level to watch is the 50-day Exponential Moving Average (EMA), currently at $61,500.
  • RSI Indicator: The Relative Strength Index (RSI) is at 50, which is a neutral reading. This suggests that Bitcoin is neither overbought nor oversold at the moment.

What Could Happen Next for Bitcoin?

Possible Scenarios for Bitcoin’s Price:

1. Bullish Scenario:

If Bitcoin can break above the $61,200 pivot point and sustain above the 50-day EMA, it could push towards the $63,000 resistance level. A sustained move above this level might indicate further gains in the near future.

2. Bearish Scenario:

If Bitcoin falls below the $60,000 support and continues to drop, the next levels to watch are $59,000, $58,000, and $57,000. A break below these support levels could signal a more extended downtrend.

Expert Opinions on Bitcoin’s Future

Michael van de Poppe, a well-known cryptocurrency analyst, has shared his thoughts on Bitcoin’s price movements. He believes that while the current economic data provides a mixed picture, Bitcoin’s long-term prospects remain positive.

Van de Poppe’s Analysis:

  • Current Valuation: Van de Poppe points out that Bitcoin’s current price level is relatively low compared to its past performance. This could mean there’s significant upside potential if the market conditions improve.
  • Market Trends: He suggests that Bitcoin might follow broader market trends, and the recent economic data might help drive the next phase of the market cycle.

What Should Investors Watch For?

Upcoming Factors to Consider:

  • Economic Data Releases: Keep an eye on future economic reports from the U.S., including updates on inflation, employment, and consumer sentiment.
  • Regulatory Developments: Watch for news on cryptocurrency regulations and how governments are approaching digital currencies. Regulatory changes can have a significant impact on Bitcoin’s price.
  • Market Sentiment: Pay attention to the overall mood of the cryptocurrency market. News about technological advancements, major partnerships, and investor sentiment can all influence Bitcoin’s price.

Bitcoin’s Long-Term Prospects

Despite recent fluctuations, Bitcoin remains a leading asset in the cryptocurrency world. Its long-term potential is supported by several factors:

1. Adoption and Innovation:

  • Growing Adoption: More institutions and companies are accepting Bitcoin as a form of payment or investment.
  • Technological Advances: Ongoing improvements to the Bitcoin network and new technologies like the Lightning Network aim to make Bitcoin more scalable and efficient.

2. Market Position:

  • Dominance: Bitcoin continues to hold the largest market capitalization in the cryptocurrency sector, which reinforces its position as a key player in the digital asset space.

3. Historical Performance:

  • Price Trends: Historically, Bitcoin has shown resilience and recovery after market downturns. Past performance suggests that while there may be short-term volatility, Bitcoin’s long-term trend has been upward.


As Bitcoin trades above the $60,000 mark, investors are evaluating the impact of recent U.S. economic data on BTC’s future. While lower-than-expected inflation and weaker consumer sentiment present mixed signals, they also offer insights into potential market movements.

Key Points to Remember:

  • Economic Data: Lower inflation may support Bitcoin’s price, while reduced consumer sentiment might introduce caution.
  • Technical Levels: Watch for price action around the $61,200 pivot point and the $60,000 support level to gauge future trends.
  • Market Sentiment: Stay informed about broader economic conditions and regulatory developments that could affect Bitcoin’s price.
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Evie is a blogger by choice. She loves to discover the world around her. She likes to share her discoveries, experiences and express herself through her blogs.

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