September 11th• 3 min read
Bitcoin Breaks $114K as Inflation Cools, ETFs Surge
Bitcoin surged past $114,000 following softer-than-expected U.S. inflation data, while spot Bitcoin ETFs recorded their third consecutive day of major inflows totaling $757 million on September 10.
Key takeaways
📈 Price Breakout: Bitcoin crossed the critical $113,000 resistance level, reaching $114,000 after favorable PPI data showed wholesale inflation cooling.
💰 ETF Momentum: Spot Bitcoin ETFs attracted $757 million in net inflows on September 10, marking the third straight day of institutional buying.
📊 Inflation Relief: August PPI fell 0.1% month-over-month versus expectations of +0.3%, easing Fed rate hike concerns.
🎯 Technical Signal: The decisive break above $113K suggests potential for further upside toward $116K-$120K resistance levels.
⏰ CPI Watch: Tomorrow's Consumer Price Index report will be crucial for confirming the inflation cooling trend and Fed policy direction.
Deep dive
The combination of cooling inflation data and sustained institutional demand through ETFs created a powerful bullish catalyst for Bitcoin.
The Producer Price Index reading of -0.1% monthly and 2.6% yearly was significantly below forecasts, suggesting inflationary pressures are easing.
This development reduces the likelihood of aggressive Federal Reserve rate hikes, which typically benefit risk assets like Bitcoin.
The concurrent $757 million ETF inflow demonstrates that institutional investors are capitalizing on this macro backdrop, with the sustained three-day buying streak indicating strong conviction rather than speculative positioning.
The technical break above $113,000 is particularly significant as this level has acted as key resistance, and clearing it opens the path toward higher targets in the $116,000-$120,000 range.
Polaris insights AI-generated
Disclaimer: This article may contain content generated or assisted by AI, based on information from public sources. While we aim for accuracy, no content should be taken as financial or trading advice. Always do your own research and consult a professional before making investment decisions. Markets are volatile and involve risk.
