UPDATE: Crypto market loses $42B as hot CPI boosts rate-hike odds
CIE News ·
Following higher-than-expected September inflation, the crypto market shed over $42 billion as Bitcoin fell toward $82,331 and market odds for an October Federal Reserve interest rate hike jumped to 49%.
The broader cryptocurrency market capitalization shed over $42 billion, dropping 1.44% to $2.868 trillion following the release of September inflation data. As previously reported, the U.S. Consumer Price Index reached 3.7% year-over-year, coming in above economist forecasts and accelerating expectations for further Federal Reserve tightening.
Bitcoin (BTC) slid more than $1,000 to reach an intraday low near $82,331, CoinDesk reported. Among alternative tokens, Ethereum (ETH) dropped 3.17% to trade below $2,500, while XRP fell 2.99% and Solana (SOL) declined 2.77%.
Following the inflation print, money markets tracked by LSEG repriced the probability of an interest rate hike at the October 27–28 FOMC meeting to 49%, up from 22%, Morningstar reported, while CME FedWatch placed the odds near 47%.