Bitcoin prices have fallen to the upper $70,000 range. Analysts attribute this decline to increased speculation about interest rate hikes by the Federal Reserve ahead of the release of U.S. inflation data, coupled with rising oil prices from the Middle East, which have heightened inflation concerns.
As of 8 a.m. on September 9, Bitcoin was trading at $78,510, down 0.59% from the previous day, according to global cryptocurrency market site CoinMarketCap.
Recently, Bitcoin surpassed $82,000 last week, reaching its highest level in nearly three months, but has since dropped back to the $70,000 mark. The surge past $80,000 triggered profit-taking, and growing uncertainty surrounding U.S. monetary policy has hindered further gains.
The spike in international oil prices is also putting pressure on cryptocurrency investment sentiment. With rising military tensions in the Middle East, Brent crude oil prices have approached $99 per barrel. Higher oil prices can increase inflationary pressures, making it more difficult for the U.S. to ease its monetary policy. In fact, U.S. stock markets have seen major indices decline amid concerns over rising oil prices and inflation.
Investors are adopting a wait-and-see approach ahead of the upcoming release of the U.S. Producer Price Index (PPI) for August on September 10 and the Consumer Price Index (CPI) on September 11. The market anticipates a 0.4% increase in the August CPI compared to the previous month, with core CPI expected to rise by 0.2%. If inflation figures come in higher than expected, the likelihood of a rate hike by the Federal Reserve could increase, which would weigh on risk assets like Bitcoin.
The potential for an increase in the U.S. benchmark interest rate is also contributing to the decline in cryptocurrency prices. Last month, stronger-than-expected U.S. employment data has bolstered expectations that the Federal Reserve may raise rates at its upcoming Federal Open Market Committee (FOMC) meeting on September 16.
However, aside from Bitcoin, major altcoins are showing upward trends. Ethereum has risen 0.23% to $2,488. Tether is up 0.01% to $0.99, while Ripple (XRP) has increased by 2.13% to $1.41.
Meanwhile, at 8 a.m. on the same day, Bitcoin was trading at 106,500,000 won (approximately $79,385) on Bithumb, reflecting a 'Kimchi premium' of 1.306%, indicating that domestic prices are higher than international rates.
As of 8 a.m. on September 9, Bitcoin was trading at $78,510, down 0.59% from the previous day, according to global cryptocurrency market site CoinMarketCap.
Recently, Bitcoin surpassed $82,000 last week, reaching its highest level in nearly three months, but has since dropped back to the $70,000 mark. The surge past $80,000 triggered profit-taking, and growing uncertainty surrounding U.S. monetary policy has hindered further gains.
The spike in international oil prices is also putting pressure on cryptocurrency investment sentiment. With rising military tensions in the Middle East, Brent crude oil prices have approached $99 per barrel. Higher oil prices can increase inflationary pressures, making it more difficult for the U.S. to ease its monetary policy. In fact, U.S. stock markets have seen major indices decline amid concerns over rising oil prices and inflation.
Investors are adopting a wait-and-see approach ahead of the upcoming release of the U.S. Producer Price Index (PPI) for August on September 10 and the Consumer Price Index (CPI) on September 11. The market anticipates a 0.4% increase in the August CPI compared to the previous month, with core CPI expected to rise by 0.2%. If inflation figures come in higher than expected, the likelihood of a rate hike by the Federal Reserve could increase, which would weigh on risk assets like Bitcoin.
The potential for an increase in the U.S. benchmark interest rate is also contributing to the decline in cryptocurrency prices. Last month, stronger-than-expected U.S. employment data has bolstered expectations that the Federal Reserve may raise rates at its upcoming Federal Open Market Committee (FOMC) meeting on September 16.
However, aside from Bitcoin, major altcoins are showing upward trends. Ethereum has risen 0.23% to $2,488. Tether is up 0.01% to $0.99, while Ripple (XRP) has increased by 2.13% to $1.41.
Meanwhile, at 8 a.m. on the same day, Bitcoin was trading at 106,500,000 won (approximately $79,385) on Bithumb, reflecting a 'Kimchi premium' of 1.306%, indicating that domestic prices are higher than international rates.
* This article has been translated by AI.
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