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Softer U.S. PPI Pushes Fed Pause Odds as Bitcoin Clings to Mid‑$63k Support

The cooler producer‑price read boosts the chance of a September Fed hold and makes Jackson Hole and upcoming PCE inputs the key tests for whether Bitcoin breaks its narrow range.

Overview

  • U.S. producer prices for July unexpectedly held flat on the month and slowed to 4.7% year‑on‑year, a softer read than forecasts reported across coverage.
  • The cooler PPI, together with a recent softer CPI print, moved market pricing so that futures now show better than a 65% probability the Fed will leave rates unchanged in September.
  • Bitcoin rose modestly into the mid‑$63,000s after the reports but remained rangebound with primary technical support around $63,400–$63,600 and resistance near $67,200–$67,300.
  • On‑chain analysts warned that concentrated long positions near $61,000 could trigger forced liquidations if price falls to that level, which would likely accelerate any downside move.
  • The PPI matters because parts of it feed into PCE inflation calculations that the Fed watches closely, so upcoming Jackson Hole comments, core PCE data, ETF flows and geopolitical shocks are the likely triggers that will decide Bitcoin’s next sustained direction.