Bitcoin price (BTC) has surged to over $17,000 on the U.S. PPI data release today. The Bitcoin price (BTC) rose by more than $3,300 in less than an hour and has since consolidated around $16k after trading as high as $17,500 at one point this morning.
Bitcoin price (BTC) passed $17,000 on Monday after the U.S. Producer Price Index (PPI) rose more than expected. The move comes as trading activity in crypto markets has slowed down and investors are waiting for what they expect will be final capitulation from bears before a major rally takes place.
That’s according to Arthur Hayes, co-founder and CEO of BitMEX exchange, who said: “We haven’t seen a pullback since December 2018.” He added: “It’s kind of parabolic so far.”
The U.S PPI is an indicator of inflation based on changes in output prices for items such as raw materials and finished goods manufactured within the country’s borders. It’s released monthly by the Bureau of Labor Statistics (BLS), which is part of the U.S Department of Labor (DOL).
Bitcoin Price Garners Interest
There are many who believe that this week’s price movements could be the final capitulation before a major move. If you’re holding Bitcoin, now may be the time to consider selling some of your holdings off and taking profits while they’re still high enough to do so.
Bitcoin is a digital currency. It isn’t controlled by any government or central bank, so it has no intrinsic value. Bitcoin only has value because people think it does. Unlike the dollar, the euro and other currencies that are backed by governments, bitcoin is not backed by any country or institution.
Many people buy bitcoins as an investment in hopes that they can sell them later for more money than they paid for them (or because they believe their value will increase over time). Others use bitcoin to buy things online or send money across borders more cheaply than would be possible with traditional payment methods like credit cards or wire transfers
Bitcoin was created by an anonymous person who used the alias Satoshi Nakamoto (the name may mean “central intelligence”). Miners dedicate computing power to verify transactions on the blockchain network—the public ledger of all bitcoin transactions—and receive new bitcoins as compensation for their work.