Bitcoin (BTC) Price Reacts Negatively to Latest U.S. PPI Annual Rate Release, But Regains Momentum

The latest U.S. PPI annual rate was released today, but Bitcoin (BTC) price reacted negatively to it by recording a correction of approximately 2%.

The latest U.S. PPI annual rate was released today, but Bitcoin price reacted negatively to it by correcting around 2%. However, the price recovered momentum and retested $104,000 as the market experienced increased institutional demand and Coinbase’s inclusion in the S&P 500 acted as a major catalyst.

According to the latest reports by the U.S. Bureau of Labor Statistics, the U.S. PPI annual rate in April was 2.4%, marking the third consecutive drop on a monthly basis. Moreover, the latest stats are the lowest since September 2024.

Breaking it down, the monthly PPI rate in April was -0.5%, the lowest in 63 months or since April 202. Furthermore, the data was 0.2% lower than the session's expectations.

Following the release of the data, the Bitcoin price took a slight hit by dropping toward its immediate support zone. However, the cryptocurrency market recovered immediately, resulting in top altcoins recovering their short-term losses.

At the time of writing, the price of Bitcoin was $103,984 with an intraday trading volume of $44.98 billion, a change of -8.97%. Moreover, the daily high and low of the largest crypto token were $104,110.99 and $101,440.81 respectively.

With this, the BTC price is now trading at a discount of only 4.68% from its all-time high (ATH) of $109,114.88. Considering the present market sentiments, the Bitcoin price could potentially test a new ATH this month.