Bitcoin dips below $80,000 after US producer price index spikes
U.S. producer prices for September rose 1.3% month‑over‑month and 6.3% year‑over‑year, the strongest increase since early 2022. The hotter‑than‑expected PPI sparked a sell‑off in Bitcoin, pushing the cryptocurrency below the $80,000 psychological level before it recovered later in the session. The move triggered roughly $950 million of liquidations, mainly on long positions, and coincided with net outflows from spot Bitcoin ETFs.
Why it matters
The data revived expectations of a Federal Reserve rate hike at the Oct. 27‑28 meeting, increasing real‑interest‑rate pressure on non‑yield‑bearing assets such as Bitcoin. The sell‑off also led to $150.5 million of ETF outflows on Oct. 14, indicating reduced investor appetite for crypto exposure.
Key facts
- 1September producer price index rose 1.3% from August on a seasonally adjusted basis. crypto.news
- 2Annual wholesale inflation increased 6.3% year‑over‑year, the fastest rise since December 2022. crypto.news
- 3Bitcoin fell about 3.6% to roughly $81,500 in the 24 hours after the PPI release, with a 24‑hour low of $80,443. crypto.news
- 4Bitcoin briefly dropped below $80,000, reaching a low near $79,806 according to CoinGecko data. cryptoticker.io
- 5Crypto liquidations totalled $948.22 million in 24 hours, 90.6% of which were long positions. cryptoticker.io
- 6Spot Bitcoin ETFs recorded net outflows of $150.5 million on Oct. 14 after a prior inflow of $175.7 million. cryptoticker.io
Open questions
- Bitcoin low price varies between $80,443 and $79,806.
Summary written by AlphAI AI Desk from 11 of 11 sources. Not investment advice. Figures are as stated by the linked sources.