The price of bitcoin is gradually recovering amid new signs of slowing inflation in the United States.
Last week, the cryptocurrency market experienced the pressure associated with the bankruptcy of the FTX exchange — an event comparable to the Mt. Gox and Terra crises.
According to the Cryptovizor cryptocurrency screener, which determines the market price of BTC/USD based on the results of trading on the largest spot exchanges, today the asset price has confidently risen above $ 17,000.
Thus, bitcoin successfully survived one of the most dangerous incidents in its history and, apparently, got off well. Amsterdam Stock Exchange trader Michaël van de Poppe wrote about this on Twitter:
“FTX collapsed, and bitcoin is trading at $17,000. But it could have fallen to $10,000.”
The recovery of the cryptocurrency market today was helped by the US Bureau of Labor Statistics, which published data on the producer price index (PPI). On an annualized basis, this index was 8% against the forecast of 8.3%. These data are perfectly combined with the October consumer price index (CPI), which also turned out to be below expectations. All this together points to a slowdown in inflation in the United States and may well serve as a reason for the Federal Reserve to ease its tight monetary policy.
Along with bitcoin, the US stock market also rose: the S&P 500 (SPX) and Nasdaq Composite indexes rose by 1.7% and 2.4%, respectively. Meanwhile, the already weakened US dollar index (DXY) dropped below 105.5 — that is, to the lowest level since mid-August.