Recent US inflation data has offered a glimmer of hope for Bitcoin investors. The July Consumer Price Index (CPI) remained relatively stable at 2.7% year-over-year, aligning with June’s figures and falling short of expectations for a higher reading. This stability suggests that the Federal Reserve may be more likely to cut interest rates soon, according to CME FedWatch which predicts a rate cut in September at 93.9%. The core CPI, a measure excluding volatile food and energy prices, rose by 3.1% annually, matching market forecasts. While monthly inflation increased slightly (0.2%), the core CPI showed modest growth (0.3%). This data paints a mildly bullish picture for Bitcoin, as it reinforces expectations of monetary easing, which is generally favorable for risk-on assets. A lower interest rate environment would diminish the opportunity cost of holding Bitcoin, potentially attracting new capital to the market.