Bitcoin Falls Below $80,000 as Inflation Data and Rate Expectations Weigh

Bitcoin dipped below $80,000 after stalling at around $81,000 last week. The asset's price drop was triggered by position unwinds and profit-taking as retail demand for Bitcoin retreated to about 703,000 units.

The US Personal Consumption Expenditures (PCE) Price Index held steady at 3.7% year-over-year in July, surpassing the 3.6% consensus estimate. Core PCE remained unchanged at 3.3%, with both measures increasing by 0.2% month-on-month.

Rate expectations softened, with futures implying a 38% chance of a 25 basis-point September hike, down from 55% in the previous month.