Bitcoin’s $80K Recovery Faces A Tough Inflation Test

Bitcoin briefly regained 81000 dollars after the release of the US PCE inflation, in line with expectations. Behind this limited rebound, historical data show however that this indicator rarely gives a lasting direction to the crypto market. The PCE price index rose 0.5% in September and 3.6% year-on-year, after 3.4% in August. Excluding food and energy, core inflation reached 0.3% month-over-month and 3.1% year-on-year. All four results matched economists’ forecasts, sparing the market an immediate negative surprise. Bitcoin reacted by momentarily rising above 80000 dollars, reaching a peak near 81000 dollars. However, this movement looks more like relief than a bullish validation: inflation is accelerating and remains significantly above the Federal Reserve’s 2% target.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to Cointribune.