The latest US Consumer Price Index (CPI) data showed that market concerns about inflation intensified as the inflation rate in September was 0.2%, higher than expected. This development, coupled with the recent weakness in US employment data, has consolidated market expectations that the Federal Reserve will adopt a hawkish stance at the upcoming meeting.

US CPI fell to 2.4% in September

According to the Labor Department, the US CPI was 0.2% on a monthly basis, which was the same as the levels in August and July. On an annual basis, the inflation rate fell to 2.4% in September, down from 2.5% in the previous month and also higher than the market's expectations of 2.3%. Notably, the annual increase in September was the lowest increase since February 2021.

Core CPI rose by 0.3%

Meanwhile, the core CPI rose by 0.3% last month, unchanged from the previous month's figure. On a 12-month basis, the core CPI, which excludes food and energy prices, rose to 3.3% from 3.2% last month.

Impact on Bitcoin Price

After the release of the US CPI, the price of Bitcoin fell by 1.3%, briefly falling below $61,000 to hit a 24-hour low of $60,314.22. At the same time, its trading volume rose by more than 6% to $28.4 billion. This has sparked widespread discussion on whether Bitcoin will fall to $60,000 in the future.

Market Sentiment

The latest higher-than-expected inflation data seems to have had a negative impact on investor sentiment, leading to a sell-off in the broader crypto market. The market currently expects an 84% probability of a 25 basis point rate cut by the Federal Reserve at its November meeting. Concerns about the previous forecast of a 50 basis point rate cut have added to investors' concerns.

Impact on Global Markets

This development may have an impact on the global financial industry, not just the crypto market. The latest inflation data also sent the US 10-year Treasury yield up to 4.073, while the US dollar index fell 0.10% to 102.595.

What's next for Bitcoin price?

According to the analysis, Bitcoin needs to recapture and break through the $60,000 range to reactivate supply and spark activity. Some forecasts suggest a possible rally to $74,751 by October 15, while others see a drop to $60,000. The market remains cautious and only time will reveal the direction of Bitcoin price. #6万保卫战 #9月美国CPI实现6连降