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Bitcoin Tests $65K Resistance as ETF Inflows Fuel a Stronger Market Rally

Bitcoin trades near $65,000 after cooler US inflation data reduced expectations for further Federal Reserve rate hikes. ETF inflows and short liquidations supported the rally, while a close above $65,142 could open a move toward $68,000 and higher.

Written By : Kelvin Munene
Reviewed By : Manisha Sharma

Bitcoin traded near $64,600 on July 15 after reaching an intraday high above $65,100. The move lifted BTC about 3% in 24 hours and placed the market near a key resistance area. Softer US inflation data drove the advance, while ETF demand and short liquidations added buying pressure.

The crypto market rally also came as Brent crude climbed above $85 amid renewed US-Iran tensions. Bitcoin held most of its gains despite the oil move, keeping attention on the $65,000 level and the next Federal Reserve policy signals.

Cooling Inflation Drives Bitcoin Higher

The US Consumer Price Index fell 0.4% in June, marking the largest monthly decline since April 2020. Annual inflation slowed to 3.5% from 4.2% in May. Core inflation stayed unchanged during the month and eased to 2.6% annually.

The report reduced expectations for another near-term rate increase. Market pricing for a Fed hike dropped from 43% to 13% after the release. Lower rate expectations supported risk assets, including Bitcoin, as traders moved away from cash and other interest-sensitive positions.

Bitcoin also traded closely with US equities during the move. The reported 86% correlation with the S&P 500 pointed to a broad macro reaction rather than a crypto-only event. Fed Chair Kevin Warsh is addressing Congress this week, while the July policy meeting follows on July 28 and 29.

ETF Demand and Liquidations Add Support

US spot Bitcoin ETFs recorded $181 million in net inflows on July 14. BlackRock’s IBIT led the group with about $139 million. Fidelity’s FBTC added roughly $21 million, showing fresh demand through regulated investment products.

At the same time, rising prices forced bearish traders to close leveraged positions. About $107.25 million in Bitcoin shorts faced liquidation over 24 hours, according to market data. Those forced purchases increased momentum as Bitcoin approached $65,000.

The flow data followed uneven institutional activity earlier in July. ETF products recently ended a long outflow period, but daily totals have stayed volatile. Traders will monitor the next sessions for evidence that demand can hold after the CPI-led move.

Bitcoin Price Faces a $65K Breakout Test

Bitcoin now faces resistance at $65,000 and near its 50-day exponential moving average around $65,142. A daily close above that area could open a move toward $68,000. The next wider resistance zone sits between $68,000 and $70,000.

Michaël van de Poppe expects Bitcoin to reach $68,000 within one or two weeks. He also sees a possible move toward $75,000 to $80,000 in August. He said Bitcoin is ‘flipping important moving averages for support,’ but the target depends on price clearing nearby resistance.

Order-book data places notable selling interest near $67,000 and above. Buyers have shown support between $63,500 and $63,800. A fall below $64,000 could expose $63,000, while a deeper break may bring $61,300 back into focus.

Oil prices create another near-term risk. Brent reached $85.42 after the United States restored a naval blockade on Iranian ports. Further supply disruption could lift inflation expectations and change the rate outlook that supported Bitcoin’s latest rally.

ETF flows and Bitcoin’s next move will show whether buyers can extend the rally toward the analyst’s August range.

Also Read: Bitcoin Price Today: BTC Nears $64,800 as Inflation Cools and Solo Miner Wins 

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