Circle stock, Bitcoin climb above $65,000 ahead of August CPI report

Circle stock rose to $68.18 and Bitcoin traded above $65,000 on Aug. 10 as investors positioned for the U.S. CPI report due Aug. 12.

Economists surveyed by financial data providers expect headline inflation to ease to 3.4 percent, a level that would strengthen the case for Federal Reserve rate cuts, according to the report.

The data lands after a stretch of weak U.S. employment figures that has already pushed markets to price in a faster easing path. The Fed has held its benchmark rate in the 5.25 percent to 5.50 percent range since July 2025, and the 10-year Treasury yield hovered near 4.1 percent in recent sessions. A softer jobs report earlier this month eased pressure on the central bank to keep policy restrictive, according to the report.

Circle, the issuer of the USDC stablecoin, is especially sensitive to the outcome because its valuation tracks both equity markets and digital-asset sentiment. The stock faces resistance near $68.50, with the potential to rise to $70 or fall toward support levels if the inflation data surprises, according to the report.

CPI print to set the tone for risk assets

A softer-than-expected reading would strengthen the case for rate cuts, reducing borrowing costs and supporting risk assets including Bitcoin and crypto-linked equities. A hotter print, by contrast, could keep rates higher for longer and pressure digital-asset prices.

Bitcoin's move above $65,000 comes as traders reassess Fed expectations after recent labor-market data pointed to cooling. The CPI report, due at 8:30 a.m. ET on Aug. 12, will be the week's dominant driver for both crypto and equity markets.

Circle's recovery follows a period of volatility for the stock, which trades as a proxy for the broader digital-asset sector. The company's USDC stablecoin is the second-largest by market value, and its fortunes are tied to crypto trading volumes and the regulatory environment in the United States.

For crypto traders, the release is the key near-term trigger. A cooler print would likely lift Bitcoin toward its next resistance level, while a hot number could send it back below $65,000. Circle's stock, which has recovered from recent lows, faces a similar binary outcome. The report will also shape expectations for the Fed's next policy meeting, with any shift in rate-cut odds rippling through borrowing costs and risk appetite across markets.

This article is for informational purposes only and does not constitute investment advice.