Bitcoin price today: pinned at $88.3k despite cooler US CPI data
Bitcoin edged slightly lower on Thursday, continuing its subdued behaviour amid sustained exchange-traded fund outflows and cautious positioning despite a cooler-than-expected U.S. inflation data, which led to a bump in odds of more interest rate cuts in 2026.
The world’s largest cryptocurrency last traded 1.2% lower at $88,628.0 by 09:26 ET (14:26 GMT).
The world’s largest cryptocurrency has failed to mount a decisive rebound above the $90,000 mark after steep gains earlier in the year, reflecting a market in consolidation rather than expansion.
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ETF outflows, Fed caution weigh; CPI inflation cools
Investors have continued to withdraw capital from U.S.-listed spot Bitcoin ETFs, extending a pattern of net redemptions that has eroded a key source of institutional demand.
Data from recent sessions show persistent ETF outflows that market participants say have removed critical support that underpinned Bitcoin’s rally earlier in the year, intensifying pressure on the price.
Meanwhile, a Thursday release of Consumer Price Index (CPI) data showed that consumer prices rose less than expected in November, bolstering hopes that inflation is cooling enough to allow the Federal Reserve more scope to ease policy than markets had previously assumed.
The index increased at a 2.7% annual pace last month, according to a delayed release from the Bureau of Labor Statistics. That compared with a 3.1% rise expected by economists surveyed by Dow Jones.
Underlying inflation also surprised to the downside. Core CPI, which excludes food and energy, climbed 2.6% year over year, below expectations for a 3% increase.
The report covered a period that included the U.S. government shutdown, which disrupted data collection and led to the cancellation of the October CPI release. The November figures were originally scheduled to be published on Dec. 10 and did not include all the usual components of a standard CPI report.
Even so, investors combed through the data for signals on the Fed’s next steps. While expectations for a January rate cut remained muted, markets began to assign greater odds to an easing move in March.
The CME Group’s FedWatch tool is showing about a 60% probability of a March rate cut, up from roughly 54% the previous day.
Earlier in the week, delayed U.S. payrolls and employment data revealed a mixed labour market. Nonfarm payrolls rebounded modestly in November after a sharp decline in October, but the jobless rate rose to its highest level in years.
The conflicting signals have muddied expectations for the Fed’s next policy steps and tempered conviction on whether further easing lies ahead.
President Donald Trump has indicated that his preferred nominee for the next Federal Reserve chair would be someone who believes in significantly lower interest rates, comments that have stirred debate over the central bank’s direction.
Crypto price today: altcoins slip, Cardano drops 4%
Source: Investing.com
