Divergence in Bitcoin Investor Confidence After CPI Data Release

Bitcoin has been oscillating this week between sustained buying pressure and short-term caution. The overall U.S. CPI met expectations, but the core inflation month-on-month exceeded forecasts, intensifying concerns over rising interest rates. After the data release, BTC fell to around $76,700, rebounded to near $80,000, and then retreated back to the $77,000 range. There is a gap between long-term demand and short-term selling pressure: the U.S. spot Bitcoin ETF has seen net inflows for three consecutive weeks, with corporations and long-term investors continuing to accumulate; however, spot demand remains weak, with Binance's BTC reserves reaching a two-year high, and derivative selling pressure has intensified while open interest has not sufficiently decreased. Investors have shifted from FOMO to avoiding losses. Signs of stablecoin liquidity and buying activity on Coinbase indicate that demand has not disappeared, but confidence among buyers and sellers is diverging. The macro environment still dominates, with rising oil prices, high bond yields, and inflation concerns potentially limiting new liquidity.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.