Bitcoin Price Extends Decline Below $79,000 Amid US Inflation Fears

Bitcoin's price has extended its decline below $79,000 on Tuesday, following a 1.53% loss in the previous session.

According to QCP Capital, US inflation data due on Friday could be the decisive factor for cryptocurrency markets this week.

The market remains constructive but direction has yet to be decided, analysts say.

A strong demand for exchange-traded funds (ETFs) continues to provide support for the market, but technical resistance in the $80,000 to $82,000 range remains a constraint on gains.

Escalating tensions between the United States and Iran are increasing concerns over energy supplies and renewed inflationary pressures, potentially raising the likelihood of tighter Federal Reserve monetary policy and weighing on Bitcoin.