Bitcoin (BTC) Reclaims $70K. Here's Why.

The Bitcoin (BTC) price briefly reclaimed the $70,000 level following the release of the latest US macro data.

This came after business activity in the US manufacturing sector unexpectedly slowed down in May. The ISM Manufacturing PMI experienced a decline to 48.7 compared to 49.2 that was recorded during the previous month.

According to analyst Matt Weller, this could be another sign that the US economy could be experiencing downshifting in the second quarter.

The drop in the #ISM manufacturing index in May adds to the sense that the economy is losing momentum .. driven by the new orders index falling to a 12-month low.

London-based research provider Capital Economics has also noted that the US economy is likely losing momentum. "The drop in the #ISM manufacturing index in May adds to the sense that the economy is losing momentum .. driven by the new orders index falling to a 12-month low," it said.

The recent macro data might prompt the U.S. Federal Reserve to speed up the pace of rate cuts.

In the meantime, West Texas Intermediate Crude Oil (WTI) futures have now dropped to $75, the lowest level since Feb. 6.

A short-lived bounce?

After briefly regaining the $70,000, Bitcoin has pared some recent gains. This might be due to renewed selling pressure.

According to blockchain sleuth Lookonchain, four miners' addresses that had been dormant for over a decade transferred $7 million out shortly after the flagship cryptocurrency surpassed the much-coveted $70,000 level.