Bitcoin Stuck Below $65K as 'Stagflation' Risks Intensify
Bitcoin's price remains stagnant at around $64,000 as markets await further geopolitical cues. The cryptocurrency failed to break beyond its local range in place since June despite some optimism over a potential deal between Iran and Oman to reopen the Strait of Hormuz oil route.
Iran's Deputy Foreign Minister Kazem Gharibabadi tempered expectations by stating that the understanding does not guarantee the Strait's reopening. US WTI crude oil prices remained little changed at $76 per barrel, having hit three-week lows the day prior.
The latest US Institute for Supply Management (ISM) Services PMI and employment data showed a divergence continuing, with PMI rising 0.1 point in July to 54.1, while employment dropped 3.6 points to 47.4, its lowest reading since March.
Analysis from The Kobeissi Letter notes that the odds of stagflation are intensifying based on the combined PMI readings. Onchain analytics platform Glassnode described Bitcoin's price as showing 'boredom rather than capitulation', with a compressed and under-owned market that global risk appetite has left behind.