Bitcoin Above $65,000: Critical Test in US Inflation Data

Bitcoin rose above the $65,000 level following weak US employment data, which reduced expectations of Federal Reserve interest rate hikes. With this rise, weekly gains approached 3%. Market participants have begun pricing in the possibility that the central bank may slow the pace of monetary policy tightening. Investors' focus has now shifted to the US July inflation data, set to be released on Wednesday. This data stands out as one of the most important economic indicators expected to be decisive for the Fed's future interest rate decisions. If inflation comes in below expectations, it could further temper rate hike expectations and give Bitcoin new momentum. However, if inflation comes in high, the likelihood of the Fed adopting a more hawkish stance could strengthen. In this scenario, pressure on risky assets and a pullback in Bitcoin's gains could be expected. Analysts note that the data could cause high volatility in markets and play a critical role in determining Bitcoin's direction. From a technical perspective, sustained movement above the $65,000 level is seen as an important signal for the continuation of the uptrend. However, if the price retreats below this level, testing support levels could come into play. The market is trading cautiously ahead of the inflation data. This is not investment advice.