Bitcoin Tops $124K Amid Fed Speculation

Bitcoin’s record-breaking rally past $124,000 yesterday reflects runaway optimism for September rate cuts, yet underlying inflation trends suggest the climb could face turbulence.

Though headline CPI slowed to 2.7%, the core measure’s rise to 3.1% complicates the Fed’s path.

“BTC’s sensitivity to monetary policy is extreme right now,” noted Min Jung of Presto Research, as prices fluctuated between $124,347 and $123,868.

With Powell emphasizing long-term inflation trends, the cryptocurrency’s fate may hinge on whether the Fed aligns with the market’s 93.7% dovish bet.