Bitcoin fell sharply today, dropping toward $65,000 as hotter-than-expected US inflation data reignited fears of delayed Fed rate cuts and crushed risk appetite across markets.
BTC traded as low as $65,100–$65,300 (down ~3–4% intraday from recent highs near $68,000).
The move erased much of yesterday's rebound gains.
Broader crypto market bled: ETH -4–5%, SOL -6%, major altcoins down 5–10%.
Driver: US PPI Data (released today)
January PPI MoM: +0.4% (higher than consensus +0.2–0.3%).
Core PPI MoM: +0.3–0.4% (still elevated).
PPI YoY: ~2.8–3.0% (less cooling than hoped).
Result: Bond yields rose (10-year Treasury +5–8 bps), dollar strengthened, equities pulled back → classic risk-off pressure on BTC as a high-beta asset.
Market Context:
Traders now see lower odds of aggressive Fed easing in March/May.
Persistent inflation + tariff uncertainty + geopolitical noise (Iran tensions) continue to weigh on sentiment.
Bitcoin's correlation with Nasdaq/tech remains high, amplifying the drop.
