Bitcoin Rejects $65k Level Despite Positive US PPI Data as Volatility Returns
Key Facts
Reflecting the market's heightened sensitivity to macroeconomic data, Bitcoin retreated to the $64,200 level after a brief attempt to stabilize above the psychological $65,000 mark. This price action followed the release of positive U.S. Producer Price Index (PPI) data, yet the digital currency faced immediate selling pressure that halted a 48-hour uptrend. According to analyst reports, this rejection caused Bitcoin's total market capitalization to slip below the $1.3 trillion threshold during volatile Thursday trading.
The current volatility stems from shifting Federal Reserve rate cut expectations, as the correlation between crypto assets and monetary policy outlooks remains tight. Per market data, major tech peers showed mixed performance following the inflation data, suggesting a cautious stance among investors regarding high-beta assets despite signs of cooling wholesale inflation.
Technically, BTC was trading at $64,200 (at close July 18, 2026), establishing $65,000 as a formidable short-term resistance zone. Investors are now looking toward the upcoming economic calendar, specifically jobless claims and Fed official speeches, which will serve as the next catalysts to determine if Bitcoin can reclaim its momentum or if it will slide back toward the $60,000 support floor.
Latest Updates · 7
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Update: Recent analyst reports indicate that futures market flows have become the primary driver of current price action, overshadowing macroeconomic data. Furthermore, liquidation heatmaps suggest that the next price direction will be determined by major liquidity clusters, increasing the potential for sharp volatility near established resistance levels.
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Update: The sell-off extended across the altcoin market as Ethereum fell below the $1,900 mark after failing to sustain its six-week high of $1,950. Additionally, digital assets PUMP and ZEC each saw a 4% decline, signaling broad profit-taking as investors continue to pull back from risk-heavy positions.
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Update: On-chain data from Galaxy Research reveals a sharp slowdown in the movement of 'old' Bitcoin held for over a year during 2026, suggesting long-term holders are resisting the urge to sell. Additionally, analyst Alex Thorn points to the $69,000 level as a critical psychological test that will determine if newer market entrants can sustain the current price recovery.
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Update: Recent reports indicate that selling pressure is primarily driven by profit-taking from 'whales' and long-term holders. Notably, Bitcoin failed to reclaim the $65,000 level despite softer-than-expected U.S. inflation data, suggesting that internal technical factors and liquidity outflows are currently outweighing positive macroeconomic catalysts.
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Update: Cryptometer data tracked $59 million in net outflows from Bitcoin and Ethereum, signaling intensified selling pressure. In response, traders have rotated capital into the USDT stablecoin and cash positions as a precautionary measure against ongoing market volatility.
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Update: Technical data indicates that the recent decline followed Bitcoin's failure to break through a significant horizontal resistance level at $66,000. This price rejection has reinforced short-term bearish expectations, with analysts viewing it as a signal of fading bullish momentum and a need for deeper liquidity to overcome this technical barrier.
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Update: NYDIG warned in its Q2 review that Bitcoin's decline could deepen, potentially reaching levels between $38,000 and $39,000 by October. This projection is based on a historical comparison suggesting the current drawdown could mirror the severity of the 2022 bear market cycle.