Bitcoin fell below $80,000 on Thursday after US producer inflation data for September came in significantly higher than market expectations, putting pressure on cryptocurrency and other risk assets. BTC dropped as much as 1.8% during the session, reaching its lowest level since September 18, before recovering to around $81,000.
According to the US Bureau of Labor Statistics, the Producer Price Index (PPI) rose 6.3% year over year in September, compared with market expectations of 5.3%. Core PPI also climbed to 5%, exceeding forecasts of 4.4%. The latest figures followed higher-than-expected consumer inflation data released a day earlier, adding to concerns about persistent price pressures in the US economy.
Bitcoin analysts are now monitoring support levels around $78,000, with the 50-week and 21-week exponential moving averages near $78,459 and $76,144, respectively.
Analysts have warned that Bitcoin could experience further volatility if it retests these levels. The cryptocurrency also remains below the $82,500–$82,800 resistance zone, while market participants continue to assess inflation trends and broader financial market conditions.
