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First Mover Americas: Bitcoin Falls to $18.1K After CPI Data

The latest price moves in bitcoin (BTC) and crypto markets in context for Oct. 13, 2022. First Mover is CoinDesk’s daily newsletter that contextualizes the latest actions in the crypto markets.Read MoreCoinDesk

This article originally appeared in First Mover, CoinDesk’s daily newsletter putting the latest moves in crypto markets in context. Subscribe to get it in your inbox every day.

Bitcoin (BTC) dropped to as low as $18,183 after the Consumer Price Index (CPI) data was released on Thursday. The Labor Department reported consumer prices in September rose 8.2% from the same month last year and 0.4% from August.

Measured by core CPI, which excludes volatile food and energy prices, U.S. consumer prices advanced to a 40-year high in September. Bitcoin was recently down 3.8% on the day.

Bitcoin hit lows of $18,181 after the CPI data was released. (TradingView)

Prior to the release, bitcoin fell quickly by $500 in 30 minutes to about $18,575, right around 6:30 a.m. ET (10:30 UTC).

Bitcoin fell about $500 in the 30 minutes pictured. (Messari)

S&P 500 futures lost a 1% gain and slid more than 2% after CPI data showed consumer prices surged last month, and the dollar rallied.

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Sector classifications are provided via the Digital Asset Classification Standard (DACS), developed by CoinDesk Indices to provide a reliable, comprehensive and standardized classification system for digital assets. The CoinDesk Market Index (CMI) is a broad-based index designed to measure the market capitalization weighted performance of the digital asset market subject to minimum trading and exchange eligibility requirements.

Crypto Volatility Meltdown Continues

BitMEX’s ether volatility index has dropped to its lowest level since 2018. (Source: BitMEX, Decentral Park Capital)

By Omkar Godbole

“The volatility index shows pressure is building up,” Decentral’s Portfolio Manager Lewis Harland said. ” The more it builds, the more it needs to be released and reset (either direction).”

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