- Bitcoin is trading at US$114,508, up modestly on weekly charts but holding steady daily, 9.8% below its all-time high of US$128,198.
- Softer CPI data and reduced US-China tensions helped Bitcoin maintain crucial support levels, with analysts noting that holding above US$113,600 is pivotal for confirming a constructive shift.
- US inflation has eased, supporting Fed rate-cut expectations, but this masks deeper economic concerns including strained household budgets, high living costs and deteriorating US fiscal stability.
- Meanwhile, MicroStrategy acquired 390 additional Bitcoin and received a B- credit rating from S&P Global, the first rating of a Bitcoin Treasury Company by a major agency.
The crypto market is in the green after some lower single-digit gains on the weekly chart, while prices have held steady on the daily chart. Bitcoin is currently trading at US$114,508 (AU$174,566) at the time of writing, some 9.8% below its all-time high of US$128,198 (AU$195,436).
According to a report by Bitfinex, a softer CPI print and signs of easing tensions between China and the US have helped Bitcoin stay above crucial support levels.
Holding above the STH cost basis at $113,600 is now pivotal for confirming a constructive shift.
BitfinexThe analysts wrote that “trading above this level has historically marked the transition from corrective to accumulation phases,” adding that failing to stick to these levels “would risk deeper retracement toward the 0.75 quantile near $97,500, the likely lower bound of the current consolidation range if we are to pull back further.”
Additionally, US inflation has eased, suggesting progress toward the Fed’s target and boosting expectations for an imminent rate cut.
However, the analysts also said that improvement masks deeper issues — household budgets remain strained by high living costs, and surging national debt is undermining confidence in US fiscal stability as foreign demand for Treasuries wanes.
Together, easing inflation and a swelling debt load paint a complex picture: an economy stabilising at the surface but carrying deep structural imbalances beneath.
BitfinexRelated: Bitcoin’s New BIP-444 Sparks Fierce Clash Over Data Limits and Legal Risks
Strategy Keeps Buying BTC, Gets B- Rating
Despite the market volatility, one man and his company remain unbothered: Michael Saylor and Strategy (formerly MicroStrategy). Saylor posted on X that his company added 390 Bitcoin at around US$111,053 (AU$169,226), now holding 640,808 BTC. They’ve spent about US$74,032 (AU$112,814) per coin.
Saylor also noted that Strategy received a ‘B-‘ Issuer Credit Rating by S&P Global Ratings, which he called “the first-ever rating of a Bitcoin Treasury Company by a major credit rating agency”.
A B- rating is non-investment grade, firmly in the “speculative” or “junk” category. It’s unlikely that the rating will change in the near term; S&P Global said it might raise the rating in the long term if Strategy improves its USD liquidity, reduces its convertible debt, and “continues to demonstrate strong access to capital markets even during bitcoin stress.”
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