BitcoinBTC) price hit a new all-time high above $123,231 on Wednesday on Coinbase, following a similar performance from the S&P 500 which rallied to a record high of 6,457.
Bitcoin’s rise to new levels comes just one day after US CPI July print revealed inflation at 2.7% over the past year, the same as June and lower than the 2.8% forecast. Data showed that the overall CPI increased by 0.2%, compared to a 0.3% rise in June.
After the release of the FedWatch report, CME FedWatch showed that the odds for a rate reduction at the Federal Reserve meeting in September had risen to 93.9%.
Crypto investors with a long history say the Fed rate cut and the shift from quantitative tightening have historically been beneficial for Bitcoin’s price. Many also expect the implementation of US president Donald Trump’s agenda, outlined in his One Big Beautiful Bill, to result in an increase in consumer spending, inflation, and financial market risk-taking.
The recent inflows into the Bitcoin and Ether ETFs has also attracted traders’ interest and contributed to the overall bullish market sentiment. Farside Investors X’s account shows BTC ETF Netflows at $65.9 Million, and ETH Instrument saw share purchases of $523.9 Million on Tuesday.
ETH ETF has seen its first inflow of $1 billion on Tuesday. Bitcoin ETF inflows, while slowing down, have still been $1.02bn since Friday. The impact of ETH’s success on Bitcoin and altcoin is evident.
Hyblock data on the liquidation heatmap show Bitcoin pushing past a short cluster at 122,500. Positions can be forced to be closed up to 124,000. CoinGlass data suggests nearly $2 billion of short positions may be forced to liquidate if BTC is pushed past the 122,800-to-125,500 cluster.
Related: Bitcoin bulls charge at all-time highs as trader says $126K ‘pivotal’
Bitcoin has reached new heights, putting its market capital above $2.45 billion. The total cryptocurrency market cap is currently at an all-time high of $4.15 trillion.
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Source: cointelegraph.com
