Bitcoin Holds Steady Despite Conflicting US Inflation Signals
The price of Bitcoin has maintained its value around $83,000 despite some market fluctuations. On October 1st, data from CoinMarketCap showed that Bitcoin was trading at $83,531.99, down 0.11% from the previous day.
However, this stability comes as a surprise given the conflicting signals from US inflation and bond yields. The U.S. Bureau of Economic Analysis (BEA) released its August personal consumption expenditures (PCE) price index, which rose 3.4% from a year earlier. This was lower than the expected 3.7%, leading to speculation that the Federal Reserve might not raise interest rates again in October.
But as soon as the 10-year U.S. Government Bonds yield climbed to around 5.3%, Bitcoin gave back its gains, surrendering to market pressures.