Bitcoin Price Drops From $58K As US PPI, Unemployment Claims Surprising.

Bitcoin (BTC) saw volatility on the open of fresh US macro data on September 12 as Wall Street presented mixed signals on inflation.

Despite mixed data, the Fed cut hedged bets

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD heading below $58,000, still modest on the day.

At 0.3%, the August publication of the US producer price index (PPI) showed a slightly better-than-expected month-on-month increase, while the year-on-year flat rate was less than expected at 2.4%.

“We see the same theme in CPI inflation painting different pictures in annual and monthly inflation,” Business Resource wrote in part of a follow-up response to the Kobeisi letter on X.

More attention was focused on the unemployment numbers, however, which came in at 230,750 compared to expectations of 227,000.

Kobezzi said the Federal Reserve would still favor a modest 0.25% interest rate cut at its September 18 meeting.

Data from the CME Group's FedWatch Tool concurred, showing market prices down 85% from 0.25%.

Next, trader, analyst and entrepreneur Michael van de Pop pointed out that the European Central Bank (ECB) had led the Fed to deliver its own rate cuts.

“Monthly data points are worse than expected but overall PPI is lower than expected,” he concluded, adding that there are “good things lined up for Bitcoin” for X followers.

Bitcoin traders beware of BTC price optimism

After the previous day's US trading session brought erratic BTC price movements, Bitcoin itself was looking for direction.

Related: Is crypto entering a bear market? – 5 things to know in Bitcoin this week

Initial declines were recently reversed as BTC/USD reversed a rally in tech stocks to finish the day above $57,300.

Discussing market composition in both positions and derivatives, noted trader Skew suggested that a breakout above resistance near $60,000 is unlikely.

“The market doesn't seem that optimistic here, but excess resistance and supply makes sense,” explained a recent analysis piece on X.

It will take a lot more to convince market buyers to push here.

According to CoinGlass, data from a monitoring source shows that the spot price has pressed below and strengthened at $58,500.

Meanwhile, covering multiple timeframes, Bitcoin statistician Willie Woo has pointed to more critical market conditions going forward. Woo cited his own proprietary indicators.

This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.