Why Bitcoin Failed to Rally After CPI & PPI—Will the Correction Extend to $60,000?

Bitcoin price is stuck within a narrow range, consolidating between $63,000 and $64,000, failing to deliver an upside action after the latest U.S.inflation data. July CPI came in broadly in line with expectations, while PPI was more favourable, rising 0.0% month-over-month versus forecasts of a 0.2% increase. Treasury yields declined as expectations for further rate hikes eased, creating a supportive backdrop for risk assets. The response in traditional markets was clear. The S&P 500 climbed to a new all-time high of 7,798.99, gaining 0.65%, while the Nasdaq also advanced.

Bitcoin, however, failed to participate in the same risk-on move. This divergence is important: the macro backdrop was supportive, but Bitcoin lacked the buying pressure needed to sustain a rally. Currently, the price is struggling to reclaim the $65,000–$66,000 resistance area, leaving the $61,500–$62,000 zone as an important near-term support. If that support breaks, the $60,000 level could come back into focus.

Bitcoin’s Price Action Shows a Lack of Conviction

After dropping toward $58,000–$59,000 in June, Bitcoin price managed to recover through July and briefly pushed toward the $65,000–$66,000 area. But the recovery has started to lose steam as it has repeatedly been rejected and has now slipped back toward $62,800. The CVD adds to the concern. Even as Bitcoin recovered from its June lows, buying pressure never really picked up in a sustained way. CVD has continued to move around the zero line, with frequent negative readings.