Bitcoin has repeatedly fallen in the vicinity of $59,000 this month, and the short-line support of the market has moved from $60,000 to this level. The release of the core PCE inflation data on Thursday could be a key event to test the location for stability.

$59,000 for short-line observation.

The CoinDesk data show that on Wednesday, after increasing pressure, bitcoin fell to the vicinity of $59,000, then rebounded to the line of $61,000, the latest of which was about $60,800. Similar trends occurred earlier this month. On June 5, bitcoin also stopped falling near $59,000, and then rebounded to $67,000 a few days later.

In technology transactions, support slots usually refer to areas where the purchase of a purchase starts to increase, slows down or reverses the down-price line. The market generally does not give greater attention to this price zone by recognizing new support as a result of a single rebound and holding the same zone repeatedly.

Core PCE short-line catalytic factor

The market then focused on the United States personal consumption expenditure price index (PCE) on Thursday. According to reports, in May the overall PCE grew by 4.1 per cent over the same period, or the highest since April 2023; the core PCE of the Federal Reserve's greater interest is projected to grow by 3.3 to 3.4 per cent over the same period, and may also rise to its highest level since October 2023.

If the core PCE is higher than expected, the market may be further abetted by the Fed to maintain its austerity stance and even intensify interest rate expectations. As a result, the dollar index is likely to remain strong, risk assets are subject to greater pressure, and the bitcoin 59,000 dollar support is likely to be directly impacted.

  • Overall PCE is projected to increase by 4.1 per cent over the same year
  • Core PCE is expected to be 3.3 to 3.4 per cent
  • The dollar index is high since April 2025.

United States dollar strong or suppressed at-risk assets

It was noted that if inflation data were hot, it might indicate that the rebound was not a short-term disturbance, but a resurgence of price pressures. In such cases, the strengthening of the United States dollar tends to suppress the performance of risky assets such as equities and encrypted currencies.

On the contrary, if the core PCE falls short of expectations, market concerns about further tightening of policies may ease, and the increase in the United States dollar may slow down. This will provide a breathing space for many bitcoins and enhance the market's judgement of the effectiveness of the rebound around $59,000.

In short, the focus of market attention is no longer just the integer level of $60,000, but whether bitcoin will remain within a clearer price zone of $59,000.