Bitcoin prices declined below $63,500 after the U.S. Consumer Price Index (CPI) inflation data matched expectations, while Fed rate hike odds cooled further as attention shifted to Thursday’s Producer Price Index (PPI) numbers.
The Bureau of Labor Statistics (BLS), a key indicator for Federal Reserve policy decisions, reported that the CPI inflation data was in line with market expectations. This development led to a decrease in the probability of a September interest rate hike from 30% a month ago to around 60%, as per data from TradingView’s BTC/USD one-hour chart.
Meanwhile, uncertainty continues regarding future Federal Reserve policy changes and their impact on crypto markets, which has influenced investor sentiment.
Written by Kate Hollinsworth
Economics Desk
