Bitcoin and Altcoins See Increase as US CPI Rate Drops to 33

The United States has announced a decline in its unadjusted Consumer Price Index (CPI) annual rate for May, marking a significant shift in economic trends. The CPI annual rate fell to 3.3%, slightly below the anticipated 3.4% and the previous 3.4%.
Similarly, the unadjusted core CPI annual rate decreased to 3.4%, below the expected 3.5% and the previous 3.6%. This drop represents the lowest core CPI annual rate since April 2021.
Despite the overall decrease in inflation rates, there are still areas of concern. Shelter inflation increased by 0.4% in May and rose by 5.4% year-over-year. Housing-related costs, playing a significant role in the CPI calculation, continue to pose a challenge for the Federal Reserve in its fight against inflation.
Following the report, the crypto market has displayed signs of resurgence. A prominent market analyst, QCP, noted a surge in the purchase of 13-Jun calls, indicating that investors were positioning themselves for a positive outcome.
Furthermore, there was a notable rise in the funding rate, suggesting a market poised to retest its highs if the CPI figures align with expectations and the results of the Federal Open Market Committee (FOMC) meeting remain neutral. The CPI report has led to a swift recovery across most of the top ten cryptocurrencies.
Bitcoin responded favorably to the CPI data release, increasing by 2% at the time of publication. Ethereum also saw a 2.4% rise. Other major cryptocurrencies like Binance Coin (BNB) and Solana (SOL) experienced gains of 2.2% and 3.8%, respectively.
The spot prices of Bitcoin and Ether remained relatively stable as traders eagerly awaited the CPI data release and FOMC meeting results. Bullish sentiment is currently strong, with QCP stating that BTC futures swap points rebounded from a 10% low, indicating a rally as traders closed their short futures positions to capitalize on basis trades.
This bullish outlook suggests that yields may rise further, potentially surpassing 15%. The prediction is that Bitcoin could reach $70K in the near future.