Bitcoin Slips Below $80,000 After Warsh's Inflation Vow
Bitcoin's price fell below $80,000 on August 28 after Federal Reserve Chair Kevin Warsh vowed to bring inflation back under control. This move pushed short-term Treasury yields higher and cooled some of the week's risk-on momentum.
The crypto market is still in a state of limbo with no clear directional views in sight following a short squeeze due to record liquidation in leveraged bearish bets on digital assets last week.
Despite Warsh's hawkish comments, the market seems to be digesting them relatively well, according to Jasper De Maere, OTC trader at Wintermute. 'For me, the speech fell in line with expectations,' he said.
Bitcoin dropped as much as 4% to $76,871 and is now little changed on the week. It had registered a gain of 23% in the previous one. The price is still down about 40% from its all-time high of around $126,000 last October.