The cryptocurrency market is rebounding, with bitcoin recovering $64,000. Analysts said the move was influenced by the U.S. consumer price index (CPI) coming in well below market expectations, reducing the likelihood of a benchmark rate hike.
At 8:45 a.m. on the 15th, on CoinMarketCap, a global cryptocurrency market tracker, bitcoin was at $64,963, up 4.64% from 24 hours earlier.
Other cryptocurrencies are also rising. XRP (Ripple) is up 4.44% at $1.11, and solana is up 4.08% at $77.68. BNB is up 2.85% at $581.
The June U.S. CPI released on the 14th (local time) appears to have lifted cryptocurrencies. The June CPI rose 3.5% from a year earlier, below the 3.8% market forecast. The month-over-month change was a 0.4% decline, also much lower than the 0.1% market forecast.
With inflation coming in lower than expected, forecasts for a rate hike this month also faded. According to the CME FedWatch, the probability of a 0.25 percentage point increase at this month's Federal Open Market Committee (FOMC) plunged from 41.7% to 15.5%. The odds of holding the rate at the current 3.50%–3.75% rose to 84.5%, up sharply from 58.3% the previous day.