Bitcoin Bounces from $63,200 as Markets Await US Inflation Data

Bitcoin's price rebounded to around $64,130 after falling below $64,000 to the $63,200 support zone ahead of the July U.S. Consumer Price Index (CPI) report.

The sharp reduction in leveraged exposure led to a decline of about $174 million in cumulative longs and shorts delta, with Bitcoin's price fluctuating between $63,534 and $64,218 throughout the session.

Although momentum has improved without producing a confirmed bullish reversal, recent downside activity remains more dominant on the daily chart, with Aroon Down standing at 78.57% compared to Aroon Up at 21.43%.

The July CPI report is set to release at 8:30 a.m. ET on August 12, with economists expecting headline CPI to rise by 0.1% from June and 3.4% from a year earlier, which could strengthen expectations that the Federal Reserve will keep rates elevated or consider another increase.