Bitcoin is holding above the $80,000 mark on Wednesday despite hot CPI data signalling strong buyer confidence. The cryptocurrency was trading at $81,117, registering a decline of 0.17% in the past 24 hours.
in the past 24 hours. Among the major altcoins, BNB, Tron, and Dogecoin rallied up to 2.41%, whereas XRP, Solana, Hyperliquid and Cardano corrected up to 2.57%.
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Mentioning the historical trend, Akshat Siddhant, Lead quant analyst at Mudrex, said that 10 of the last 11 CPI releases were followed by short-term downside for Bitcoin, making the latest post-CPI resilience a likely shift in market behaviour.
On-chain activity has also strengthened, with daily Bitcoin transactions rising 116% so far in May, suggesting growing network participation, Siddhant further said.
The global crypto market capitalisation edged down 0.12% to $2.7 trillion, according to CoinMarketCap. Vikram Subburaj, CEO, Giottus, said Bitcoin traded near $81,000 on May 13, and the asset’s market capitalisation was at $1.62 trillion (approx), which keeps Bitcoin above the psychologically important $80,000 mark.
A sustained close above $82,500 would indicate that buyers are absorbing recent profit-taking, Subburaj further said.
In the past week, Bitcoin and Ethereum slipped 0.18% and 2.70%, respectively. Among the major altcoins, BNB, XRP, Solana, Tron, and Cardano gained up to 9.35%, whereas Dogecoin and Hyperliquid fell 3.04% and 9.31%, respectively.
CoinSwitch Markets Desk said BTC briefly dipped below $80K before buyers stepped in, helping the market recover above $80.5K and indicating that near-term support remains active. While price action remains range-bound, broader market attention is shifting toward macro developments.
For investors, this is not a market environment where being fully deployed is necessary. Maintaining liquidity gives flexibility if markets see deeper corrections or panic-driven selloffs, CoinSwitch Markets Desk said.
Here is what other investors say
Avinash Shekhar, Co-Founder & CEO, Pi42: The stronger inflation reading has dampened expectations around near-term rate cuts, contributing to a more cautious tone across both crypto and equity markets. For investors, this phase reflects a market balancing macro pressure with underlying resilience.
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CoinDCX Research Team: On-chain data suggests that Bitcoin long-term holders experienced far less stress during the recent drawdown than in previous bear market bottoms. Besides, more than 3 million ETH have been withdrawn from exchanges since early May, potentially reducing selling pressure.
Riya Sehgal, Research Analyst, Delta Exchange: Bitcoin has staged a sharp 37% recovery from its February lows, reclaiming the psychologically significant $80,000 level, while Ethereum trades near $2,290, notably lagging Bitcoin and struggling to hold above its 200-day moving average.
WazirX markets desk: Institutional participation also remained active, with Bitcoin ETFs recording inflows of $272 million, while spot XRP ETFs saw their largest inflows since January, reflecting continued activity in crypto investment products.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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