• The May Consumer Price Index (CPI) report shows disinflation persisting as Bitcoin rises.
• Bitcoin’s illiquid supply has hit an all-time high of 15.17 million, with 72% of the circulating supply being considered “illiquid”.
• Binance saw the largest Bitcoin inflow since the SEC lawsuit, while the Bank of England faced a challenge due to skyrocketing yields following a disappointing jobs report.
Disinflation Persisting as Bitcoin Rises
The May Consumer Price Index (CPI) report showed that disinflation is persisting even as Bitcoin continues to rise in value. This suggests that there is still some reluctance amongst consumers to spend their money, despite increased optimism about the future of cryptocurrency.
Bitcoin Illiquid Supply Hits All-Time High
Data from Glassnode revealed that roughly 72% of Bitcoin’s circulating supply is now considered „illiquid“. This means that it is not readily available for trading or selling and is instead held by entities who are likely hodling onto it for long-term investment purposes. In the past 30 days alone, 131,000 Bitcoin has become illiquid – an unprecedented rate so far this year according to analysts.
Binance Sees Largest Inflow Since SEC Lawsuit
Binance recently saw its largest inflow of Bitcoins since the U.S Securities and Exchange Commission (SEC) filed a lawsuit against them in June 2020. Despite legal issues with regulators in certain jurisdictions, traders remain confident about Binance’s potential and are continuing to invest in cryptocurrency through this exchange platform.
Bank Of England Faces Challenge Due To Yields Skyrocketing
The Bank of England recently faced a challenge when yields skyrocketed following a disappointing jobs report released earlier this month. As investors moved away from traditional assets such as bonds, they instead turned towards riskier investments such as cryptocurrencies which have seen unprecedented growth over the past year or so.
Markets Anticipate Rate Hike ‚Skip‘ At FOMC Meeting
Finally, markets are anticipating that there will be a rate hike ‘skip’ at the Federal Open Market Committee (FOMC) meeting later this month due to current economic conditions and inflationary pressures which could potentially lead to further volatility in asset prices if not addressed soon enough