Inflation cooling down in the United States in June could have been the primary driver influencing this latest uptick in the price of Bitcoin.
However, market participants are once again concerned that higher oil prices could derail hopes that the Federal Reserve will delay a rate hike until the end of the year.
The price of crude climbed to its highest level since June 11 today to $86 as geopolitical tensions persist. The United States resumed its bombings on Iran after failing to strike a satisfactory deal with the nation-state.
As a result, the odds that the Fed will leave rates unchanged by September, as per FedWatch, dropped from 51% a week ago to 25% as of today.
Can Bitcoin withstand this kind of volatility in the macroeconomic backdrop? The most likely answer to that is “no”.
However, at least for now, the price action is still leaving room for a bullish outlook if the token manages to climb past $66,000.