Bitcoin Shrugs Off PCE Inflation Data as US Equities Rebound

Bitcoin traded with subdued volatility on Thursday as US equities rebounded and the June PCE inflation reading came in lower than expected. The BTC price held near $64,500, largely steady from the prior day, after market attention shifted to the inflation report.

The PCE data showed a year-over-year inflation rate of 3.7%, matching forecasts, while May's figure had been 4.1%, described as the highest in three years. The Federal Reserve's preferred inflation measure, based on a broad basket of consumer spending, continues to sit above the central bank's 2% target.

Despite the cooling headline number, some market watchers treated the report with caution. Economist Steve Hanke described inflation as 'a genie the Fed just can't put back in the bottle,' emphasizing the mismatch between current inflation and the Fed's goal.