Bitcoin Retests $73,500 on High US CPI Inflation, Nvidia Stock Drops 4%

Bitcoin (BTC) dipped towards its 11-week lows close to $73,500 at Tuesday’s Wall Avenue open after US inflation got here above expectations.

Key factors:

Bitcoin worth motion fell as little as $73,518 on the again of higher-than-expected US inflation knowledge earlier than returning above $74,000.
October CPI inflation got here in above expectations at 0.4% month-on-month regardless of a slowdown in vitality worth progress to 0.7% from 5.2% in September.
Evaluation noticed the Nasdaq placing in long-term lows amid “excessive” sell-side stress.

Markets worth in December fee hike after inflation knowledge

Knowledge from TradingView confirmed BTC/USD falling to $73,518, almost matching the low it set on Sunday, its lowest level since Aug. 21.

BTC/USD one-hour chart. Supply: Cointelegraph/TradingView

The October print of the Client Worth Index (CPI) got here in at 0.4% month-on-month, above the anticipated 0.3%. CPI, which lacked a year-on-year element as a result of absence of knowledge assortment in the course of the 2025 US authorities shutdown, nonetheless confirmed a cooling fee of progress versus September, when the month-to-month improve hit 0.6%.

“The index for shelter rose 0.3 p.c in October, accounting for over thirty p.c of the month-to-month all gadgets improve. The meals index elevated 0.5 p.c in October, because the meals at house index rose 0.4 p.c and the meals away from house index elevated 0.5 p.c,” the official release from the Bureau of Labor Statistics (BLS) acknowledged.

Whereas vitality worth will increase had accounted for a significant portion of the September CPI acquire, October’s vitality index superior considerably much less at 0.7% versus the earlier 5.2% transfer.

Economist Robin Brooks described the CPI outcome as “discouraging” whereas noting that the oil-price spike had contributed to the September numbers.

“All the small print of this CPI report are discouraging, however October was additionally the height of the second large oil worth shock this 12 months and that’s clearly going to bleed into core CPI inflation,” he wrote in an evaluation.

In a speech earlier on Tuesday, Federal Reserve governor Christopher Waller mentioned that he favored hiking interest rates by 25 basis points in December even when inflation cooled from September. Knowledge from CME Group’s FedWatch Tool confirmed markets pricing in a 96.3% likelihood of that end result on the Fed’s December assembly because of this.

Following the CPI report, these odds turned extra hawkish, with a 25-basis-point hike attracting 85.3% odds and a 50-basis-point hike attracting 14.7%.

Fed target-rate chance comparability for December FOMC assembly (screenshot). Supply: CME Group

Associated: Here’s what happened in crypto today

Evaluation eyes “excessive” Nasdaq sell-off

US shares got here underneath stress on the Wall Avenue open as CPI added to present headwinds for bulls. These included strong labor-market data and the prospect of tighter AI-sector regulation underneath a Democratic-controlled Home and Senate.

The tech-heavy Nasdaq Composite Index opened down 0.6% earlier than recouping the losses, whereas Nvidia inventory fell almost 4% amid a board investigation into whether or not CEO Jensen Huang was focused by a international intelligence effort.

Nvidia inventory one-day chart. Supply: Cointelegraph/TradingView

“Client inflation has continued operating above goal whereas the October jobs report eliminated any considerations a couple of slowdown within the labor market,” buying and selling useful resource Mosaic Asset Firm summarized in analysis on the day.

Mosaic nonetheless noticed indicators of “excessive” sell-side stress on the Nasdaq, doubtlessly signaling that the index had shaped a long-term backside.

“That features a spike within the fairness put/name ratio which jumped over 1.0 and is even increased than in the course of the commerce battle selloff in April 2025,” it added.