The Fed-hike scare faded, but Bitcoin still couldn't reclaim $81K. 📉
#CPIWatch
September CPI came in at 3.7% annually, while core inflation reached 2.6%—both above expectations. Markets initially pushed the implied probability of an October Fed hike toward 50%, but the trade quickly reversed. By late Wednesday, CME FedWatch's estimate fell to around 26%, with Reuters later reporting it dropped below 25%.
So why is Bitcoin still under pressure?
There is another piece of the puzzle: US spot Bitcoin ETFs recorded $150.5M in net outflows on October 14, following $175.7M in inflows the previous day. The market is dealing with multiple variables at once—inflation, interest rates, institutional flows, and macro risk appetite. Plus, three hikes priced through 2027 do not mean three hikes are imminent.
My Key Signal: Watch whether ETF flows stabilize alongside Treasury yields. A reversal in rate expectations alone may not be enough to restore demand.
Is Bitcoin selling the inflation outlook—or the uncertainty surrounding it? Drop your thoughts below!
#CPIWatch
September CPI came in at 3.7% annually, while core inflation reached 2.6%—both above expectations. Markets initially pushed the implied probability of an October Fed hike toward 50%, but the trade quickly reversed. By late Wednesday, CME FedWatch's estimate fell to around 26%, with Reuters later reporting it dropped below 25%.
So why is Bitcoin still under pressure?
There is another piece of the puzzle: US spot Bitcoin ETFs recorded $150.5M in net outflows on October 14, following $175.7M in inflows the previous day. The market is dealing with multiple variables at once—inflation, interest rates, institutional flows, and macro risk appetite. Plus, three hikes priced through 2027 do not mean three hikes are imminent.
My Key Signal: Watch whether ETF flows stabilize alongside Treasury yields. A reversal in rate expectations alone may not be enough to restore demand.
Is Bitcoin selling the inflation outlook—or the uncertainty surrounding it? Drop your thoughts below!