Bitcoin plunges to $77,000 after hotter-than-expected US PPI
Bitcoin fell to $77,000 after August PPI inflation came in hotter than expected, with headline PPI at 5.4% year over year versus 5.3% estimated. The report also cited more than $190 million in long liquidations within 60 minutes and said July PPI figures were revised higher.
Bitcoin (CRYPTO: BTC) fell to $77,000 on Thursday after August PPI inflation came in hotter than expected, triggering more than $190 million in long liquidations in 60 minutes. 6% year-over-year, the highest since June 2026. July’s headline and core PPI were also revised higher. The hotter print added to pressure on rate-hike expectations ahead of the Sept.
16 Fed meeting. 90% for the first time since November 2023, up 95 basis points since the Iran War began. The US Treasury said it was tripling long-term bond buybacks to $6 billion, but yields kept rising, with 5% looking likely by next week. The bond market is pushing back against Washington’s attempts to hold down borrowing costs.
For crypto and stocks, higher yields can make government bonds more attractive than riskier assets such as Bitcoin. Bull Theory posted on X that Bitcoin dropped $1,200 and fell below $77,000 immediately after the PPI print. Traders said more than $190 million in long positions were liquidated in 60 minutes as they repositioned for a higher-for-longer rate environment. The note said the last PPI release sent Bitcoin up 26% in eight days and cited the late-August move from $64,000.
It also said BTC is breaking below the ascending channel from $64,000 and testing the $76,000 to $76,500 support zone. 85 million. 92 billion in the three prior weeks. Key BTC levels cited were $76,000 to $76,500 as critical support to preserve the uptrend, with $72,683 marked as the 50-day EMA and the next level if support fails.
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