Bitcoin Price Falls Below $63,500 Amid Weakening Technical Trend

Bitcoin's price fell below $63,500 on Wednesday despite US inflation figures meeting market predictions. The July Consumer Price Index (CPI) registered a 0.1% monthly and 3.4% annual increase, aligning with economist forecasts.

The probability of the Federal Reserve maintaining current interest rates in September climbed to 60-62% following the CPI release. However, market analyst Rekt Capital cautioned that the $63,000 floor is showing signs of 'progressive deterioration.'

Bitcoin spot exchange trading volume has plummeted to its lowest level since early 2019, according to Glassnode analytics. Fabian Dori, Chief Investment Officer at Sygnum Bank, characterized the CPI reading as indicating 'gradual cooling without a recession scare.'