Bitcoin Drops Below $73,000 as US Inflation Data Spikes

Bitcoin prices declined on November 10, falling below the $73,000 support level after the US Bureau of Labor Statistics reported October inflation data that exceeded forecasts. The Consumer Price Index rose 0.4% month-over-month, while core inflation rose 0.3%, surpassing the 0.2% expectation. This surge in inflation strengthened market beliefs that the Federal Reserve System will implement an interest rate hike during its December 8–9 meeting.

The price drop triggered approximately $178 million in cryptocurrency long position liquidations within an hour of the inflation announcement, adding to $305 million in liquidations recorded over the previous 24-hour period. The losses extended to other major assets, including Ethereum, XRP, and Solana. Market pressure was further intensified by deepening outflows from spot ETFs, with net outflows reaching $411 million on Friday and an additional $201 million on November 9, led by redemptions from BlackRock’s iShares Bitcoin Trust.

Federal Reserve Governor Christopher Waller indicated that a stronger policy move may be necessary if core consumer prices remained elevated. Traders are now weighing the possibility of a 50-basis-point hike in December as investors monitor whether further monetary tightening will continue into the coming year.