Investors Buy 70,000 Bitcoin (BTC) Ahead of US Inflation Report

2024-5-15 03:05

In anticipation of the upcoming US inflation report, savvy investors have purchased 70,000 Bitcoin (BTC), signaling a strategic pivot towards cryptocurrency as a hedge against potential economic volatility. 

This massive acquisition follows a significant 1 million BTC sell-off at the close of 2023, underscoring renewed confidence among long-term holders in BTC’s value.

Investors Return to Buy 70,000 BTC Ahead of CPI Report 

Recent worries about inflation and the decreasing worth of fiat currencies have sparked renewed interest in alternative stores of value.

Indeed, on-chain data from Glassnode reveals investors are strategically accumulating more Bitcoin. Their actions suggest a belief in BTC’s enduring value, particularly as it stabilizes above $60,000. 

Bitcoin Holder Net Position. Source: Glassnode

The US Consumer Price Index (CPI) rose 0.4% in March and reached 3.5% over the past year. This number remains historically high and has significantly changed the value of a dollar compared to a decade ago when the inflation rate was just 0.8%.

The upcoming US inflation report on May 15 also has investors on edge as the Federal Reserve remains unlikely to cut rates this year. For this reason, Neil Bergquist, CEO of Coinme, emphasizes Bitcoin’s appeal as a store of value.

He points out that, unlike bank-held dollars, Bitcoin’s capped supply of 21 million BTC presents an inflation-resistant alternative. 

“There’ll never be more than 21 million bitcoin ever. It has a fixed supply, unlike fiat currencies, and no one can change that. No one can come in with a new policy, no one can get elected with a new idea and change that. It’s hard-coded into the bitcoin blockchain,” Bergquist explained.

Read more: Bitcoin Price Prediction 2024 / 2025 / 2030

Consumer Price Index. Source: US Bureau of Labor Statistics

Core inflation, which excludes the more volatile costs of food and gas, will likely remain persistently high due to increased costs of shelter and core services such as insurance and medical care. According to Bank of America, higher energy prices, driven by increased gas prices, are expected to contribute to a “relatively firmer headline CPI print.”

As a result, Bitcoin may be able to establish itself as a decentralized resource, solidifying its standing as a hedge to traditional financial systems.

“If you hold dollars in your bank account over a period of rising inflation, then your balance has less purchasing power than if you were to store your value in Bitcoin,” Bergquist concluded.

The post Investors Buy 70,000 Bitcoin (BTC) Ahead of US Inflation Report appeared first on BeInCrypto.

origin »

Bitcoin (BTC) на Currencies.ru

$ 95684.77 (+0.01%)
Объем 24H $24.269b
Изменеия 24h: -0.55 %, 7d: -0.57 %
Cегодня L: $95202.86 - H: $96414.76
Капитализация $1897.278b Rank 1
Цена в час новости $ 61762.79 (54.92%)

bitcoin btc inflation investors report ahead buy

bitcoin btc → Результатов: 126


Bitcoin Market Dominance Faces a Challenge as This AI Altcoin is Set for 22,000% Gains

Many were left stunned after seeing Bitcoin (BTC) achieve milestone upon milestone but witnessing altcoins like Ethereum (ETH), Ripple (XRP), and Cardano (ADA) fail to pump by a meaningful amount. Now, after three straight months of Bitcoin (BTC) dominance, it seems the altcoin market is ready to push back with a major inflow of investments [...]

2025-2-12 02:00


MicroStrategy Strikes Again: $100 Million Bitcoin Purchase Signals Strong Market Confidence

MicroStrategy, the major enterprise software company that has evolved into a Bitcoin (BTC) investment platform, has captured attention once again with its latest purchase of $101 million in BTC. The company, led by chairman and co-founder Michael Saylor, has committed to utilizing perpetual preferred stock, common shares, and debt to fuel its ongoing Bitcoin purchasing strategy.

2025-1-7 06:00


Фото:

El Salvador now holds 6,000 BTC: can Bitcoin success story sustain?

El Salvador, the pioneering nation that made Bitcoin legal tender in 2021, has surpassed 6,000 BTC in its treasury, valued at $561.3 million as of the latest update. This milestone represents not only a strategic accumulation effort but also a bold economic experiment under President Nayib Bukele’s leadership. With a 105% unrealised return on its […]

2024-12-30 09:51


Фото:

El Salvador rings in Christmas 2024 with a Bitcoin twist

El Salvador continues to showcase its unwavering commitment to Bitcoin, doubling down on its cryptocurrency strategy despite stringent restrictions imposed by the International Monetary Fund (IMF). On 19 December 2024, the country purchased an additional 11 Bitcoin (BTC), valued at over $1 million, pushing its total reserves to nearly 6,000 BTC. This comes on the […]

2024-12-24 17:26