"The bitcoin price dropped sharply today after a brief pump near $90,000, sliding to $84,544 as the price sell-off continued into its second month. Bitcoin lost 2% over the past 24 hours. It remains 5% below its seven-day high of $89,220 and hovers near the week's low of $84,596. Trading volume reached $56 billion. Bitcoin's market capitalization stands at $1.69 trillion. The circulating supply is roughly 19.96 million BTC out of a total 21 million, according to Bitcoin Magazine Pro data."
"The drop follows a brief rally that earlier saw the Bitcoin price test $89,000. The surge came after the U.S. released new Consumer Price Index data. Inflation rose 2.7% year over year in November, lower than expected. Core CPI, which excludes food and energy, fell to 2.6%, the lowest since early 2021. Bitcoin jumped from intraday lows near $86,000 to challenge $89,000. Traders viewed the cooler inflation report as a potential signal for looser Federal Reserve policy in 2026."
"A persistent challenge is U.S.-listed spot Bitcoin ETFs. These funds, once a major source of demand, have seen net redemptions. The outflows remove institutional support that previously helped stabilize the price. Without consistent ETF inflows, breakouts above $89,000 are harder to sustain. Other economic indicators add uncertainty. Recent labor market data showed U.S. unemployment rising to 4.6%, its highest since 2021. Job growth remains uneven. The mixed signals complicate Federal Reserve policy, suggesting a cautious approach despite easing inflation."
Bitcoin fell sharply to $84,544 after a short rally toward $90,000, losing 2% in 24 hours and trading near the week's low. Trading volume reached $56 billion and market capitalization stood at $1.69 trillion, with about 19.96 million BTC circulating. Cooler U.S. CPI readings showed 2.7% year-over-year inflation and 2.6% core CPI, prompting hopes for looser Fed policy in 2026 and slightly higher odds of a March cut. The rally faded as spot Bitcoin ETF redemptions removed institutional demand. Rising unemployment and political pressure for lower rates added further uncertainty for the Fed and markets.
Read at Bitcoin Magazine
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