According to Woofun AI, US September inflation data surged more than expected, triggering violent swings across macroeconomic markets, with the BTC price falling sharply in response.
Inflation stickiness picked up markedly, with September CPI rising 0.6% month-on-month, accelerating from 0.4% in August. Although it matched the 0.6% forecast, the year-on-year gain widened from 3.4% to 3.7%, above the 3.6% expectation.
Data compiled by Woofun AI shows core CPI rose 0.3% month-on-month, unchanged from August but above the 0.2% forecast; year-on-year core CPI climbed from 2.4% to 2.6%, also exceeding the market's 2.5% estimate.
The macroeconomic headwinds hit crypto assets directly, with BTC falling $1,000 in a single day and now trading back down to $82,800.
Expectations for the policy path were revised accordingly, after several Federal Reserve officials had previously hinted at a possible further 25 basis point rate hike before year-end. Market consensus has shifted, with the central bank now expected to hold steady at its upcoming meeting and tighten at its final meeting of the year in early December.
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