Bitcoin Soars 9% on Genesis Bankruptcy, Inflation Data

• Bitcoin’s price soared today, with investors already priced in on genesis’ bankruptcy filing news.
• Analysts predict that BTC would no longer trade below $21,000 as the US dollar index (DXY) continues to cool down, and the equities market continues its rally from last week.
• The report from the bureau of labor statistics (BLS) indicated a 0.1 percent decline in overall inflation for all consumers, which is the highest in the last three years.

Today has been a monumental day in the cryptocurrency world as the leading digital asset, Bitcoin, has seen a 9% price explosion, blasting through the $22,000 mark. This latest boost in the price of BTC was largely attributed to the news of Genesis filing for bankruptcy, as investors had already priced in the potential impact on the market.

Analysts are now predicting that Bitcoin will remain trading above the $21,000 mark, with the US dollar index (DXY) cooling down and the equities market rallying from last week. This is further backed up by the US Federal Reserve’s dovish stance on inflation, following the positive data from the consumer price index (CPI).

The CPI report from the Bureau of Labor Statistics (BLS) indicated a 0.1 percent decline in overall inflation for all consumers, which is the highest in the last three years. This decrease in inflation has had a positive effect on the cryptocurrency market, leading traders to hope that the Fed will be less aggressive with its interest rate hikes at the next Market Committee meeting.

All in all, the news of Genesis’ bankruptcy filing and the positive inflation data have both contributed to the surge in the price of Bitcoin, with many investors hoping that it is a sign of the bottom in the market. Only time will tell if this optimism holds true, but for now the cryptocurrency market looks to be in a strong bullish run.

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