3.7%. That one number is why $BTC is down about 2% today, trading near $81,900 (CoinMarketCap, 14 Oct, 15:17 UTC).
US inflation for September came in at 3.7% against a 3.6% forecast, with gasoline up 9.1% in a month (US CPI report, 14 Oct). The chain from there:
- Odds of a Fed rate hike on 28 Oct jumped from 22% to about 50% in one day (CME FedWatch, via Decrypt).
- The 10-year Treasury yield reached 5.3%, near a 24-year high.
- Assets with no yield got sold. Stocks fell with crypto: S&P 500 -0.6%, ETH -2.9%, SOL -3.3%.
What this is not: a leverage flush. Liquidations over 24 hours were about $220M to $280M (TradingView, Decrypt), small next to the billion-dollar days. Fear and Greed sits at 51, neutral. Spot Bitcoin ETFs took in $176M on Tuesday after a week of outflows.
Next tests: US producer prices this week, then the Fed decision on 28 Oct. A daily close under $80,000 with liquidations in the billions would make this a different story.
Is this a crypto story or a bond story?
#BTC #bitcoin #CPI #Fed
US inflation for September came in at 3.7% against a 3.6% forecast, with gasoline up 9.1% in a month (US CPI report, 14 Oct). The chain from there:
- Odds of a Fed rate hike on 28 Oct jumped from 22% to about 50% in one day (CME FedWatch, via Decrypt).
- The 10-year Treasury yield reached 5.3%, near a 24-year high.
- Assets with no yield got sold. Stocks fell with crypto: S&P 500 -0.6%, ETH -2.9%, SOL -3.3%.
What this is not: a leverage flush. Liquidations over 24 hours were about $220M to $280M (TradingView, Decrypt), small next to the billion-dollar days. Fear and Greed sits at 51, neutral. Spot Bitcoin ETFs took in $176M on Tuesday after a week of outflows.
Next tests: US producer prices this week, then the Fed decision on 28 Oct. A daily close under $80,000 with liquidations in the billions would make this a different story.
Is this a crypto story or a bond story?
#BTC #bitcoin #CPI #Fed