Bitcoin (BTC) held near $114,000 after the latest U.S. CPI report landed broadly in line with forecasts.
When: CPI for August 2025 was published on September 11, 2025 (ET).
Where: United States inflation data; global crypto markets.
Who: U.S. Bureau of Labor Statistics (BLS); crypto traders and investors.
Why it matters: An in-line inflation print steadied rate-cut expectations, keeping BTC pinned in a tight range above $111K support.
Key Points
- CPI: Headline CPI +0.4% m/m, +2.9% y/y for August; core CPI +0.3% m/m, +3.1% y/y.
- Market reaction: BTC hovered around $114K with traders flagging $114K resistance and $111K support as near-term levels.
- Policy lens: Despite the firmer CPI, markets still lean toward8 a quarter-point Fed rate cut at the next meeting amid labor-market softness.
Market Snapshot
Bitcoin’s price action was muted after the print, with multiple crypto desks describing the CPI outcome as a “nothingburger” for BTC in the very short term. Price feeds and market wrap-ups showed BTC holding ~$114,000, with intraday probes both above and below as liquidity clustered near that figure.
Analysts highlighted $114,000 as a key pivot and $111,000 as first support; a clean break above couldJ encourage momentum buyers, while a slip under $111K would expose deeper pullbacks.
Inflation Details & Why It Matters for Crypto
The BLS report confirmed headline CPI at 2.9% y/y, the highest since January, and 0.4% m/m, with shelter and food notable contributors. Core CPI stayed at 3.1% y/y. These readings broadly matched advance estimates and the market narrative heading into the release.
Because the print met expectations, rate-cut odds were largely unchanged, keeping real-yield dynamics stable—an important cross-asset driver for BTC. Several outlets noted that while inflation pressure ticked up, weakening labor datakeeps the door open to a 25 bps cut at the next Fed meeting.
Context & Outlook
- Macro: Forward-looking commentary points to tariff pass-through and goods-price firmness, but the overall CPI path remains within market expectations for disinflation to resume into year-end.
- Crypto positioning: With range-bound BTC, traders may key off macro catalysts (PPI, retail sales, FOMC) and technical levels (114K/111K) for direction. A decisive break could set the tone into the Fed meeting.
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