Bitcoin Stalls at $78,000, Echoing Last Rally's Fatal Price

The Bitcoin price correction has stalled at $78,000, mirroring the exact price that killed the last rally. According to recent data, this is not a coincidence.

On August 28, new Fed Chair Kevin Warsh delivered his first Jackson Hole keynote, pointing out that PCE inflation was still running at 3.7% year-over-year and 4.1% annualized over the previous six months. This message led to markets repricing fast, with September rate-hike odds on CME FedWatch jumping to roughly 56% from 35% a day earlier.

The resulting sell-off saw Bitcoin drop from $81,455 to a low of $76,845 before closing near $77,800. The leverage flush did the rest, with CoinGlass logging around $486 million in liquidations across roughly 95,731 traders.