Bitcoin struggles to turn US GDP miss into bullish catalyst as strong spending backs Fed caution

What happened

Bitcoin briefly rose above $65,000 on Thursday after U.S. GDP growth missed forecasts, trading near $64,729 after reaching an intraday high of $65,071 and a low of $63,205.

Confirmed

Global impact / market context

The price jump shows investors may view weaker economic data as a sign that the Federal Reserve will keep interest rates lower for longer, which can make non‑yielding assets like Bitcoin more attractive.

Analyst inference

Strong consumer spending helped keep the economy from a deeper slowdown, prompting the Fed to stay cautious about tightening policy. This environment often supports risk‑on assets, including cryptocurrencies.

Analyst inference

What to watch

1. Upcoming U.S. inflation reports – higher inflation could push the Fed toward faster rate hikes, potentially pressuring Bitcoin lower. Proposed
2. Future GDP releases – another miss could reinforce expectations of prolonged low rates, supporting further Bitcoin gains. Proposed
3. Changes in Fed policy guidance – any hint of earlier tightening would likely increase market volatility and affect Bitcoin’s risk‑on appeal. Proposed

Affected assets

• BTC — Bitcoin

Evidence

• cryptoslate.com