Bitcoin price breaks $23,000 as data shows US in 'technical recession'

The US GDP reading for the second quarter meets the definition of a recession, despite comments from the Fed and the legislators.

Market Update

Bitcoin (BTC) regained more lost ground during the July 28 Wall Street open amid confusion over whether the US had entered a new recession.

BTC/USD 1-Hour Candle Chart ( Bitstamp). Source: TradingView

Analysts call US recession on GDP print

Data from Cointelegraph Markets Pro and TradingView tracked BTC/USD as it tested $23,000 for support following an advance on the previous day's Federal Reserve rate hike.

Momentum benefited from US GDP data, which fell for a second straight quarter, meeting the demands of a recession in the economy.

US economy in technical recession as GDP contracts for a second quarter. Second-quarter GDP fell at an annualized rate of 0.9%, with inventories and residential investment dampening growth after falling 1.6% in the first three months of the year. pic.twitter.com/5cXb6uNyWT

— Holger Zschaepitz (@Schuldensuehner) July 28, 2022

The situation is unclear, however, thanks to comments from Fed Chairman Jerome Powell and the White House, who both insisted that no recession had come or was happening. even planned.

"While Powell said the US is not in a recession, the GDP numbers have given two straight quarters of negative growth, which means the US is in a recession!" Michaël van de Poppe, Cointelegraph contributor