Bitcoin climbed above $97,000 again, while Ether moved past $3,400. The move came after US producer price index data printed above expectations, a backdrop that pushed major US stock indexes lower for a second straight session but did not stop crypto from extending its rebound.
Based on the source material, the stronger PPI reading reinforced the view that inflation is still heating up and could give the Federal Reserve reason to slow the pace of rate cuts. Equities weakened on that signal. Crypto, by contrast, kept rising, making the latest move stand out against broader risk sentiment.
Bitcoin tests a key resistance zone
On the daily chart, BTC had been described as needing to break through two descending trend lines to reverse its prior structure. After two consecutive up days, Bitcoin has moved away from the short-term downtrend line, yet it is still trading just below a longer-term descending resistance. The next levels are clear in the source: BTC needs to hold $97,000 and then break $98,000. Only then would the three-month downtrend be considered broken, opening the way for another test of $100,000.
On-chain data shows stronger spot buying
Looking only at on-chain signals, spot demand has increased after two days of gains. That suggests some investors are positioning for a warmer market tone in crypto. The price action is not being read purely as a short squeeze or headline reaction; spot participation appears to be improving as well.
Still, external risks remain in focus. The source notes that tensions involving Iran are still elevated, which is also cited as one reason US stocks have fallen for two sessions. If the United States takes military action on Friday or over the weekend, crypto could be hit first during weekend trading, making position management a near-term concern.