Bitcoin Edges Lower Amid Cooling Sentiment and Steady US Inflation

The Bitcoin price has cooled down to trade marginally above $78,000 on Wednesday after last week's rally and subsequent rejection around $81,000.

This decline reflects cooling sentiment amid overheated market conditions and increased profit-taking. Meanwhile, Gold (XAU/USD) is also retracing, testing support at $4,600 as investors weigh the implications of recent US inflation data.

The Personal Consumption Expenditures (PCE) Price Index held steady at 3.7% YoY in July, exceeding market expectations of 3.6%. The core PCE Price Index remained unchanged at 3.3%, in line with forecasts.