Bitcoin Under $112K: Inflation Fears & Fed Policy Impact Crypto
Bitcoin Under $112K: Inflation Fears & Fed Policy Impact Crypto
Bitcoin, the world's leading cryptocurrency, experienced a notable retreat on Thursday, with its price slipping below the crucial $112,000 threshold. This downturn comes as global investors keenly anticipate the release of key U.S. inflation data, which is expected to provide significant clues regarding the Federal Reserve's prospective interest rate adjustments. The digital asset, identified as BTC-USD, registered a 0.7% decline, trading around $111,786 (£83,022 / $111,165) at the time of reporting. This dip followed a brief recovery attempt to $114,000 on Wednesday, which quickly dissipated as selling pressure intensified during Asian trading hours, signaling a fragile market sentiment. Market Volatility and Forced Liquidations The recent market turbulence was exacerbated by substantial forced liquidations, amounting to approximately $1.5 billion. This event primarily affected highly leveraged traders who had placed bets on continued upward price momentum. The combination of t…