Bitcoin price drops to 7 weeks low after US PCE-Inflation data: Liquidations Skyrocket

The total grim situation of Bitcoin only deteriorated today because it is actively simply fell to the lowest price level in more than seven weeks at $ 108,100.

This came after the release of the US PCE data, which showed that the total prices rose by 2.6% in July.

These figures were essentially in accordance with the expectations of experts and corresponded to the previous month. The core -pce inflation, however, rose by 2.9%, which was slightly higher than in June.

The PCE data is the preferred infection measurement of the Federal Reserve and the percentage for July was higher than the target of the Central Bank. However, the difference is considered rather negligible, so that the Fed should not lower the rates in September, as many expect.

Facts From Polymarket shows that the current opportunities for a rate of 25 BPS remain 81%in September, after he rose after last week’s Powell speech.

Nevertheless, the cryptocurrency market reacted with an immediate and sharp fall. The price of Bitcoin was found some soil and jumped briefly to $ 111,800 before the bears resumed control of the market and pushed it to the south to $ 108,100, a low point of seven weeks.

The primary cryptocurrency rose last Friday after the Jackson Hole speech, rose from $ 112,000 to more than $ 117,000. However, it has already lost the momentum and is now struggling to stay above $ 108,000, while many speculate that the current Bull Run can be stopped or at least can be paused at the moment.

The situation with the altcoins is similar or even worse. Ethereum drops by more than 3% and fights for $ 4,300, while XRP has fallen to $ 2.83. The total crypto market capitalization has erased $ 170 billion since yesterday’s peak and has fallen to $ 3,830 trillion.

This volatility has damaged livered traders, because the total value of destroyed positions is more than $ 500 million on a daily scale. More than 140,000 traders are liquidated, with the largest destroyed order that takes place on OKX.