Bitcoin Holds Around $80K as U.S. Inflation Data Pressures Crypto Market
Bitcoin fell below $80K after fresh U.S. inflation data increased Fed rate pressure expectations.Polymarket traders now price a 40% chance of a Fed rate hike by the October meeting.Total crypto market capitalization dropped 1.92% as inflation concerns pressured risk assets. Bitcoin traded at $79,576.80 after posting a 1.87% daily decline at the time of writing, following new U.S. inflation data that added fresh pressure across digital asset markets and prompted traders to reassess expectations for Federal Reserve policy. The latest Producer Price Index (PPI) report followed stronger-than-expected Consumer Price Index (CPI) figures released a day earlier, adding to concerns that inflationary pressure remains high across the U.S. economy. The combined data contributed to renewed caution across crypto markets as investors monitored the possible impact of higher interest rates on liquidity-sensitive assets. US PPI Inflation Adds to Market Uncertainty The latest U.S. PPI report showed producer prices increased by 1.4% in April, accounting for the largest monthly rise since March 2022. On an annual basis, final demand prices rose 6.0%, the strongest increase since January 2023. The report showed price pressure across both goods and services. Final demand goods increased by 2.0%, while services rose by 1.2% during the month. Energy prices remained a major contributor to