Bitcoin Briefly Dips Below $80,000 as U.S. Producer Prices Jolt Markets
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First consumer prices, now producer prices: Bitcoin briefly fell below $80,000 on Thursday, its lowest level since mid-September. The trigger was U.S. inflation data that came in well above expectations. The dip was short-lived, however: According to CoinGecko, Bitcoin is back at about $82,400, up nearly 1 percent over 24 hours.
Prices at a Glance
The following table shows the largest crypto assets by market capitalization (excluding stablecoins), according to CoinGecko.
| Crypto asset | Price | 24 hours | 7 days |
|---|---|---|---|
| Bitcoin (BTC) | $82,355 | +0.97% | +1.27% |
| Ethereum (ETH) | $2,443.60 | +0.55% | −0.17% |
| BNB (BNB) | $733.41 | +0.70% | −0.09% |
| XRP (XRP) | $1.34 | +0.84% | −0.83% |
| Solana (SOL) | $105.79 | +1.36% | −2.83% |
| Tron (TRX) | $0.3312 | −0.82% | −0.37% |
| Zcash (ZEC) | $1,224.74 | +5.61% | +6.44% |
| Hyperliquid (HYPE) | $81.79 | +1.97% | −2.82% |
| Dogecoin (DOGE) | $0.08110 | −1.13% | −2.41% |
| Monero (XMR) | $545.85 | −0.80% | +2.47% |
| Chainlink (LINK) | $12.50 | +0.41% | +0.36% |
| Cardano (ADA) | $0.2307 | +0.88% | −1.13% |
| UNUS SED LEO (LEO) | $9.04 | +0.14% | +0.94% |
| NEAR Protocol (NEAR) | $5.25 | +8.65% | +10.47% |
| Stellar (XLM) | $0.1848 | +0.54% | −2.49% |
Over 24 hours, Bitcoin swung between about $79,800 and $82,500. NEAR Protocol (up 8.7 percent) and Zcash (up 5.6 percent) posted the biggest gains.
The Explanation: Producer Prices Jump the Most Since 2022
The dip was driven by U.S. producer prices for September. The Producer Price Index (P.P.I.) rose 6.3 percent from a year earlier, compared with expectations of 5.3 percent. According to the Bureau of Labor Statistics, the monthly increase was the largest since March 2022. Core P.P.I., which excludes energy and food, also came in well above expectations at 5 percent, compared with a forecast of 4.4 percent. Producer prices are seen as a leading indicator: What producers pay more for today often ends up costing consumers more later.
Just a day earlier, consumer prices had also exceeded expectations and pushed the crypto market into the red. The Federal Reserve already raised interest rates in September, and its next meeting is at the end of October. A sell-off in tech stocks also weighed on risk assets: South Korea’s benchmark KOSPI index fell 7.5 percent on Thursday, after A.I. and chip stocks had already tumbled.
The bond market’s reaction stood out. The economist Mohamed El-Erian called the P.P.I. figures “even more striking” than the consumer price data, yet the yield on 10-year Treasury notes fell to its lowest level since late September. Robin Brooks, a former chief currency strategist at Goldman Sachs, sees this as a decoupling: Markets are focusing less on economic data and more on the growing U.S. budget deficit, he argues.
What Could Come Next
Analysts are divided. The trader Rekt Capital sees a possible “volatile retest” of the moving averages around $76,100 and $78,500, he wrote on X. Such deviations have historically occurred in early-stage bull markets, he noted, though usually only after a bullish crossover of the two lines, which Bitcoin has yet to see. The analyst Aksel Kibar is more skeptical: The latest weekly close at around $83,700 was not a real breakout, he said. Bitcoin could therefore fall back into a wide trading range between $60,000 and $82,800.
