The price of Bitcoin (BTC) has rebounded to approximately $62,410, reflecting a gain of about 2.5% following the release of the latest US inflation report. This uptick occurred even as the Consumer Price Index (CPI) reached its highest point in over three years, with a year-over-year increase of 4.2% in May.
Despite the favorable response to the inflation data, BTC continues to face potential downside risks, particularly as it trades below significant resistance levels. The monthly CPI rose by 0.5%, driven primarily by escalating energy and gasoline prices linked to renewed tensions in the Middle East.
While the inflation figures aligned with economists' predictions, alleviating concerns about a more aggressive monetary policy from the Federal Reserve, traders remain cautious. The cryptocurrency's movement suggests that while it has found support near the $60,000 to $62,000 range, a full bullish reversal has yet to be confirmed, as it still lingers beneath key short-term technical indicators.