Inflation Tells Traders 'Just Kidding' as Bitcoin Sneaks Back to $76K

Bitcoin climbed to levels not seen since early February after the latest US inflation print gave risk assets something to smile about. The world's largest cryptocurrency touched monthly highs above $76,000 on Tuesday, with Bitstamp data showing an intraday peak of $76,038 — Bitcoin's best performance since mid-March. PPI Plays Nice The March Producer Price Index came in cooler than expected, despite ongoing geopolitical tensions. Markets had priced in a 4.7% year-on-year jump and a 1.1% month-on-month increase, but the actual print was just 0.5% MoM. On a 12-month basis, final demand prices rose 4.0% — the largest annual advance since February 2023, according to the Bureau of Labor Statistics. Still, not everyone's celebrating. "We are now officially seeing inflation metrics in the US that are at 4% or higher," noted The Kobeissi Letter on X. "Inflation is back." Rate Cut Dreams? What Rate Cut Dreams? The softer inflation print hasn't moved the needle on Federal Reserve rate cut expectations, with markets keeping bets firmly anchored to late next year. The $78K Elephant in the Room Traders aren't popping champagne just yet. Keith Alan, cofounder of Material Indicators, flagged the 21-week moving average around $78,300 as a key battleground. "A rejection from that level would send the Weekly RSI back below the R/S flip line at 41, and send BTC to the next leg down," Alan warned. CryptoReviewing, pseudonymous cofounder of Wealth Capital, noted the push to $75,000 had already triggered a wave of short liquidations — though Bitcoin's price action remains suspiciously Range-Bound. The takeaway: Bitcoin's feeling bullish today, but that $78K trendline isn't rolling over.