Bitcoin Price Falls Below $64K as US Inflation Fails to Spark Breakout

Bitcoin's price fell nearly 3% from its intraday high of $65,234 to $63,304 after the US inflation report failed to spark a breakout. The asset has remained within its established trading range of $62,000, $66,000 since July.

CoinEx analyst Jeff Ko explained that weaker employment data affected rate expectations more than the in-line CPI reading. He noted that the weak July jobs report resulted in a larger change in interest-rate expectations than the inflation slowdown.

Ko stated, 'The weak July jobs report arguably mattered more for the rates outlook in a way that rate futures cut the probability of a September hike from around 57% to roughly 44%' following the payrolls miss.

The analyst further explained that Bitcoin's inability to hold above $65,000 supports a sell-the-news interpretation. He added that traders had already accounted for the inflation slowdown before the official report arrived, indicating that the CPI print was largely priced in.