The cryptocurrency market sees minor gains led by Bitcoin as inflation data shows stable core prices, with major coins facing declines.
The cryptocurrency market saw a modest increase on Thursday, following the release of inflation data that suggested underlying price pressures remain stable. Bitcoin rose approximately 1.9% over the last 24 hours, reaching around $62,600.
Although overall inflation climbed by 0.5% month-over-month and 4.2% year-over-year—marking the fastest annual rise since April 2023—this surge was largely attributed to a 3.9% monthly jump in energy prices, driven by the ongoing conflict in Iran, which accounted for over 60% of the overall inflation increase.
In contrast, core inflation, which excludes volatile food and energy prices, increased just 0.2% for the month, below the expected 0.3%, and showed a 2.9% rise year-over-year. This limited uptick primarily benefited Bitcoin, as the asset has remained relatively stable, down less than 1% over the past week, while other major cryptocurrencies have faced more significant losses.
Ether dropped around 6.5% to approximately $1,651, XRP fell by 7.5% to about $1.12, Solana decreased by 7.4% to around $65, and dogecoin saw a 7% decline. BNB experienced a smaller weekly loss of 2.1%.
Market observers are now turning their attention to the Federal Reserve's upcoming meeting on June 17, where no changes to interest rates are expected. The rise in headline inflation may bolster hawkish views, while the muted core inflation data supports the argument that inflationary pressures are primarily energy-related.
Additionally, the anticipated public offering of SpaceX, led by Elon Musk, is influencing market sentiment. The offering is expected to be priced later today and may start trading on Friday at a valuation of $1.8 trillion, with reports indicating that shares are already four times oversubscribed.
