Bitcoin Price Volatility Continues as Inflation Data Sparks Selling Pressure
The past week has been turbulent for cryptocurrencies, particularly Bitcoin (BTC). The US inflation data released on Friday made it a memorable day. However, let's not jump ahead.
Last weekend, the market experienced a sluggish trading session, but investors attempted to regain the lost $80,000 mark. Unfortunately, they were unsuccessful. On Monday, the price dropped to around $77,600, and on Tuesday, Bitcoin tried twice to breach the $79,400 resistance level but failed again.
The week's first inflation data, the Producer Price Index (PPI), pushed the BTC price down further to around $77,000. The Friday release of the Consumer Price Index (CPI) initially triggered another selling wave, causing the price to dip to a three-week low of $76,000.
However, this was followed by an unexpected turn of events. As soon as the price hit its lowest point, investors quickly reversed it, and in a few hours, the BTC price surged back to nearly $80,000. The price has since risen by over 5% within the day, with everyone now focusing on next week's Federal Reserve decision.
Ethereum (ETH) saw an 8-month high of $2,660 and a weekly gain of 6%. Other notable altcoins that experienced significant gains include ZEC, NEAR, DOT, TRX, and ICP.