Bitcoin Price Drops to $66K Amid Soft Inflation Data, Trump Backs Mining Support

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Key Highlights


Market Reaction to Inflation Data

US Consumer Price Index (CPI) remained unchanged in May, with a 3.3% annual increase—below the projected 3.4%. Core CPI (excluding food/energy) rose just 0.2%, signaling subdued inflationary pressures.

Initially, Bitcoin surged 4% to $69,400** on the news, but gains were short-lived as traders adjusted expectations to **a single 2024 Fed rate cut** (likely in September). Spot BTC ETFs saw **$200M in outflows pre-CPI announcement, reflecting cautious optimism.


Political Crypto Moves Ahead of US Election

Trump’s Mining Endorsement

At a Mar-a-Lago gathering with mining firms (CleanSpark, Riot Platforms), Trump vowed to champion Bitcoin mining, citing its potential to balance energy grids. His campaign now accepts crypto donations, backed by a $12M Silicon Valley fundraiser hosted by tech elites.

Biden’s Outreach

The Biden campaign is consulting crypto experts on digital asset policies, signaling a strategic pivot to capture voter interest.

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Regulatory Developments: ETH ETFs Coming Soon

SEC Chair Gary Gensler confirmed spot ether ETFs will launch this summer, following May’s 19b-4 form approvals. Pending S-1 filings are the final hurdle. These ETFs—like their Bitcoin counterparts—will provide indirect ETH exposure without direct custody.


Meme Token Volatility Tied to GameStop

GameStop’s stock fell 12% after announcing plans to sell 75M shares, erasing recent highs driven by trader Roaring Kitty’s $580M position reveal. Meme tokens mirrored the drop:

Q1 sales plummeted 29% YoY to $882M, underscoring the company’s challenges.


Global CBDC Progress: HSBC Adopts e-CNY

HSBC Bank (China) became the first foreign bank to offer digital yuan (e-CNY) services for corporations, enabling seamless transactions and asset management. Pilot programs now cover 5 major cities, with Hong Kong expanding cross-border e-CNY wallets.


ZKsync Airdrop Details

The ZKsync Association will distribute 3.675B ZK tokens (17.5% of total supply) starting next week:


FAQ: Crypto and Retirement Accounts

Q: Can crypto be part of a 401(k) or IRA?
A: Yes! FinTech firms and traditional institutions now offer crypto-integrated retirement plans, allowing exposure via ETFs or direct holdings.

Q: What are the risks?
A: Volatility and regulatory uncertainty require careful planning—consult a financial advisor.

Q: How do I start?
A: Research platforms supporting crypto IRAs or employer-sponsored crypto 401(k)s.

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Data as of June 13, 2024. This content is for informational purposes only and not financial advice.